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HomeMy WebLinkAbout103-11 RESOLUTIONRESOLUTION NO. 103-11 A RESOLUTION AUTHORIZING A CONTRACT WITH GILA, LLC DBA MUNICIPAL SERVICES BUREAU FOR ACCOUNT COLLECTION SERVICES AT A PAYMENT RATE OF FORTY PERCENT (40%) OF AMOUNTS COLLECTED BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes a contract with Gila, LLC dba Municipal Services Bureau for account collection services at a payment rate of forty percent (40%) of amounts collected. PASSED, and APPROVED this 21st day of June, 2011. APPROVED: By: Ate.!+ "IO LD JO ' 1 , Mayor ATTEST: By: SON d)41/14.1 E. SMITH, City lerk/Treasurer City of Fayetteville Staff Review Form City Council Agenda Items and Contracts, Leases or Agreements 6/21/2011 City Council Meeting Date Agenda Items Only Rainy Laycox Submitted By Billing and Collections Division Action Required: Finance Department Council approval of a resolution authorizing the Mayor and City Clerk to sign a contract for collection services with Gila, LLC, DBA Municipal Services Bureau ("MSB") 40% of funds collected by MSB Cost of this request 5400.1810.5333.00 Account Number N/A Project Number Budgeted Item INN '18,000.00 Category / Project Budget 311.92 $ Program Category1 Project Name Funds Used to Date Program / Project Category Name 17,688.08 Water and Sewer Remaining Balance Fund Name Budget Adjustment Attached r1 LLA . C'441, Departme ector Previous Ordinance or Resolution # 79-96 Date 6-2�� Date 4-x-1411 Finance and Internal Services Director Original Contract Date: Original Contract Number: 7/2/1996 Received in City 06-01-1 1 PO4:00 RCVD Clerk's Office Comments: Revised January 15, 2009 ave ev! le THE CITY OF FAYETTEVILLE, ARKANSAS DEPARTMENT CORRESPONDENCE ARKANSAS www.accessfayetteville.org CITY COUNCIL AGENDA MEMO To: Mayor and City Council Thru: Paul Becker, Finance Director From: Rainy Laycox, Billing and Collections Mgr Date: May 31, 2011 Subject: Collection Service Contract pursuant to RFP 11-03 PROPOSAL: Council approval and authorization for the Mayor and City Clerk to sign a Collection Services Contract with Gila, LLC, DBA Municipal Services Bureau ("MSB") for an initial period of one year from the effective date of the contract with the option to renew for four (4) consecutive one (1) year terms. RECOMMENDATION: The Collection Services selection committee unanimously recommends that Gila, LLC, DBA Municipal Services Bureau ("MSB") be awarded the contract for RFP 11-03. Four bids were received and voted on by the committee. BUDGET IMPACT: } The current budget has $17,688.08 available. MSB will be compensated at 40% of dollar amounts collected. RESOLUTION NO. A RESOLUTION AUTHORIZING A CONTRACT WITH GILA, LLC DBA MUNICIPAL SERVICES BUREAU FOR ACCOUNT COLLECTION SERVICES AT A PAYMENT RATE OF FORTY PERCENT (40%) OF AMOUNTS COLLECTED BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby authorizes a contract with Gila, LLC dba Municipal Services Bureau for account collection services at a payment rate of forty percent (40%) of amounts collected. PASSED and APPROVED this 21st day of June, 2011. APPROVED: ATTEST: By: By: LIONELD JORDAN, Mayor SONDRA E. SMITH, City Clerk/Treasurer �avel�v�le THE CITY OF FAYETTEVILLE, ARKANSAS ARKANSAS www.accessfayetteville.org • CONTRACT REFERENCE: RFP 11-03, Collection Services Contractor: Gila, LLC — DBA: Municipal Services Bureau (MSB) Term: 1 year with 4 options for renewal 1St This Contract is executed this ,1 day"of IA it& , 2011 (the "Effective Date"), between the City of Fayetteville, Arkansas (the "City"), and Gila, LLC, DBA Municipal Services Bureau ("MSB"). In consideration of the mutual covenants contained herein, the parties agree as follows. WITNESSETH: WHEREAS, City has previously determined that it has a need for a PROVIDER FOR COLLECTION SERVICES; and WHEREAS, City, after soliciting competitive proposals for such services pursuant to City of Fayetteville RFP 11- 03 (herein after referred to as Request for Proposal or RFP), City has awarded this Contract to MSB; and WHEREAS, MSB has represented that it is able to satisfactorily provide these services according to the terms and conditions of the RFP, which are incorporated herein by reference, and the terms and conditions are contained herein; and NOW THEREFORE, in consideration of the above and mutual covenants contained herein, the parties agree as follows: 1. Services to be Performed: MSB hereby agrees to provide the City with COLLECTION SERVICES, as requested and more specifically outlined in the RFP, this Contract, and all subsequent documents that are incorporated into the terms and conditions and set forth the rights, duties and obligations of the parties pursuant to this Contract. 2. Time of Service: Services shall be performed in a timely manner, as specified in the RFP. 3. Term of Agreement: The initial period for this Contract will be for one year from the Effective Date of the Contract. This Contract may be renewed for four (4) consecutive one (1) year terms. In the event of cancellation, all records pertaining to City of Fayetteville accounts, debts, and records shall become the property of the City of Fayetteville and turned over accordingly within thirty calendar (30) days after cancellation of the Contract. 4. Amendment of Contract: This Contract may be amended only by mutual written agreement of the parties. Page 1 of 5 RFP 11-03, Collections 5. Assignment and Subcontracting: MSB shall perform this Contract. No assignment or subcontracting shall be allowed without the prior written consent of the City. In the event of a corporate acquisition and/or merger, MSB shall provide written notice to the City within thirty (30) business days of such notice of action or upon the occurrence of said action, whichever occurs first. The right to terminate this Contract, which shall not be unreasonably exercised by the City, shall include, but not be limited to, instances in which a corporate acquisition and/or merger represent a conflict of interest or are contrary to any local, state, or federal laws. Action by the City awarding a proposal to a Proposer, which has disclosed its intent to assign or subcontract in its response to the RFP, without exception shall constitute approval for purposes of this Agreement. 6. Cancellation: Each party reserves the right to cancel this Contract, without cause, by giving thirty (30) days notice to other party, respectively, of the intent to cancel, or with cause if, at any time, MSB fails to fulfill or abide by any of the terms or conditions specified. Failure of the MSB to comply with any of the provisions of this Contract shall be considered a material breach of Contract and shall be cause for immediate termination of the Contract at the sole discretion of the City. In addition to all other legal remedies available to it, the City reserves the right to cancel or obtain from another source any services which have not been provided within the period of time stated in the proposal, or if no such time is stated, within a reasonable period of time from the date of order or request, as determined by the City. 7. Compensation: As compensation for MSB providing services to the City as described herein, the City shall pay MSB forty percent (40%) of the dollar amount of each account successfully collected and properly authorized, subject to subsection 7a herein (the "Fee"). No Fee shall be paid to MSB by the City for uncollected accounts or accounts collected by the City (those amounts received directly by the City after an account has been referred to MSB) under Acts enabled to the City by state or federal law. Summary of accounts collected (including amount, etc.) as well as the Fee due and payable to MSB by the City shall be provided by MSB to the City on a monthly basis. The City will then return the Fees due, as further explained in item 16 (a) and 16 (b). a. MSB will rebate 10% of fees earned and due and payable to MSB by the City in the first 100 calendar days from the Effective Date. 8. Permits & Licenses: MSB shall secure and maintain any and all permits and licenses required to complete this Contract. 9. Minimum Insurance Requirements: MSB shall maintain insurance in at least the amounts required in the RFP throughout the term of this Contract. MSB must provide a Certificate of Insurance in accordance with the insurance requirements listed within the RFP, evidencing such coverage prior to issuance of a purchase order or commencement of any work under this Contract. MSB shall ensure that any subcontractors or persons hired by subcontractors maintain the same level of insurance coverage as MSB. Page 2 of 5 RFP 11-03, Collections 10. Indemnification: MSB shall indemnify, pay the cost of defense, including but not limited to attorneys' fees, and hold harmless the City from all suits, actions or claims of any character brought on account of any injuries or damages received or sustained by any person, persons, or property a result of or by, or in consequence of any neglect in safeguarding the work; or on account of any act or omission, neglect or misconduct of MSB; or by, or on account of, any claim or amounts recovered under the Workers' Compensation Law or of any other laws, by-laws, ordinances, order of decree, except only such injury or damage as shall have been occasioned by the sole negligence of the City of Fayetteville. The first ten dollars ($10.00) of compensation received by MSB represents specific consideration for this indemnification obligation. 11. Governing Law & Jurisdiction: Legal jurisdiction to resolve any disputes shall be Washington County, Arkansas with Arkansas law applying to the case. 12. Severability: The terms and conditions of this Contract shall be deemed to be severable. Consequently, if any clause, term, or condition hereof shall be held to be illegal or void, such determination shall not affect the validity of legality of the remaining terms and conditions, and notwithstanding any such determination, this Contract shall continue in full force and effect unless the particular clause, term, or condition held to be illegal or void renders the balance of the Contract impossible to perform. 13. Changes in Scope or Price: Changes, modifications, or amendments in scope, price, or fees to this Contract shall not be allowed without a prior formal amendment to the Contract approved by the Mayor and the City Council in advance of the change in scope, cost or fees. 14. Freedom of Information Act: Documents prepared by MSB while performing work pursuant to this Contract are subject to the Arkansas Freedom of Information Act. If a Freedom of Information Act request is presented to the City, MSB will do everything possible to provide the documents in a prompt and timely manner as prescribed in the Arkansas Freedom of Information Act (A.C.A. §25-19-101 et. seq.) Only legally authorized photocopying costs pursuant to the FOIA may be assessed for this compliance. 15. Documents Comprising Contract: The Contract shall include this document for a PROVIDER FOR COLLECTION SERVICES, as well as the following documents, which are incorporated herein by reference. a. City of Fayetteville's Request for Proposal and all of its addenda and attachments; b. MSB final pricing schedule; c. MSB Certificate of Insurance as required, listing the City as an additional insured; and d. MSB's Proposal. Page 3 of 5 RFP 11-03, Collections If there is a conflict between the terms of this Contract and the above referenced documents, the conflict shall be resolved as follows: the terms of this Contract shall prevail over the other documents, and the terms of the remaining documents shall be given preference in their above listed order. 16. Special Conditions: a. All dollars collected by MSB on behalf of the City shall be turned over to the City in full and then redistributed to MSB as agreed and at the discretion by the City. b. All payments made by customers for debts that have been turned over to MSB shall be paid directly to MSB. MSB shall send a separate check to each City of Fayetteville division (i.e. Billing & Collections, Accounting, etc.) for the total amount of all dollars collected for all accounts for each division within fifteen calendar (15) days after the end of each month the dollars were collected. The City shall then redistribute the Fee payment to MSB at the rate set forth above in Paragraph 7 within forty-five (45) days of the City receiving the remittance. c. The City reserves the right to review, audit, and examine any and all records obtained by MSB pertaining to accounts, debts, and records turned over by the City. d MSB shall show proof of bonding certificate and licensing from the State Board of Collection Agencies within thirty calendar days of the Effective Date. Bonding certificate and any required license shall be kept current throughout the term of this Contract. Proof of bonding certificate and licensing shall be submitted before each renewal. e. Accounts will be turned over to MSB at the sole discretion of the City. Cases on appeal will not be turned over for collection. Only debts with past due amounts of 90 days or older will be considered for reference to MSB. The City shall submit water, sewer, and sanitation accounts (Utility Billing) to the agency on a regular monthly basis. District Court fines shall be submitted to the agency on an as needed basis only and are not a primary scope of this contract. Miscellaneous municipal billings may be submitted to the MSB on an as needed basis. In instances where a credit adjustment is made to debts that have already been submitted, the City shall simply notify MSB of the adjustment and the amount due on the debt shall be changed with no payment due for the credited adjustment amount. f. MSB will rely completely on the City to provide correct information about each existing case(s) and, specifically, about any dollar amount in question. The City will immediately update and correct any information it has provided to MSB. In particular, the City will immediately notify MSB of any payment or other satisfaction of indebtedness made directly to the City or any other action affecting the amount or timing of monies owed by any person to the City, including the receipt or notification of any person's retention of counsel or the filing or suggestion of bankruptcy by any person. g. All services provided pursuant to this Contract shall conform to all local, state and federal law and regulations, including, but not limited to, the Federal Fair Debt Collection Practices Act, Arkansas Code Annotated § 14-234-601 et seq. and Arkansas Code Annotated § 14-229-103. Page 4 of 5 RFP 11-03, Collections h. All utility accounts collected by the Billing and Collections Division as a result of Acts 769, 360, and 195 shall become the property of the City with no fees assessed. WITNESS OUR HANDS AS OF THE EFFECTIVE DATE SET FORTH ABOVE. GILA, LLC DBA MUNICIPAL SERIVCES BUREAU (MSB) By: - BRUCE C 11 t S, Chief Executive Officer C u mpany ecretary 6505 Airport Blvd., Suite 100 Business Address Austin, TX 78752 City, State & Zip Code Date Signed: Page 5 of 5 RFP 11-03, Collections CITY OF FAYETTEVILLE, ARKANSAS ATTEST: Sond a Smith, City Clerk Date Signed: ```vgirr►►r►► V. :� • • • FAYETTEVI LLE s!y. .a, 370-Li1:1)/(414$„*il 'NG ` G. iON` City of Fayetteville, Arkansas le Purchasing Division — Room 306 aye evi Fayetteville, AR 72701 ARKANSAS Phone: 479.575.8220 113 W. Mountain TDD (Telecommunication Device for the Deaf): 479.521.1316 REQUEST FOR PROPOSAL: RFP 11-03, Collection Services DEADLINE: Friday, March 25, 2011 before 2:00:00 PM, local time DELIVERY LOCATION: Room 306 —113 W. Mountain, Fayetteville, AR 72701 PURCHASING AGENT: Andrea Foren, CPPB, aforenAci.fayetteville.ar.us, 479.575.8220 DATE OF ISSUE AND ADVERTISEMENT: Wednesday, March 09, 2011 REQUEST FOR PROPOSAL RFP 11-03, Collection Services No late proposals will be accepted. RFP's shall be submitted in sealed envelopes labeled "RFP 11-03, Collection Services" with the name and address of the bidder. All Proposals shall be submitted in accordance with the attached City of Fayetteville specifications and bid documents attached hereto. Each Proposer is required to fill in every blank and shall supply all information requested; failure to do so may be used as basis of rejection. Any bid, proposal, or statements of qualification will be rejected that violates or conflicts with state, local, or federal laws, ordinances, or policies. The undersigned hereby offers to furnish & deliver the articles or services as specified, at the prices & terms stated herein, and in strict accordance with the specifications and general conditions of bidding, all of which are made a part of this offer. This offer is not subject to withdrawal unless upon mutual written agreement by the Proposer/Bidder and City Purchasing Manager. Name of Firm: Contact Person: E -Mail: Title: Phone: Business Address: City: State: Zip: Signature: Date: City of Fayetteville, AR RFP 11-03, Collection Services Page 1 of 24 City of Fayetteville RFP 11-03, Collection Services Advertisement The City of Fayetteville, Arkansas, invites qualified vendors to submit responses to its Request for Proposal (RFP) for a properly licensed firm to provide collection services to the City of Fayetteville. To be considered, proposals must be received at the City Administration Building, City Hall, Purchasing — Room 306, 113 West Mountain, Fayetteville, Arkansas before Friday, March 25, 2011 at 2:00:00 PM, local time. No late proposals shall be accepted. Proposal forms & addendums can be downloaded from the City's web site at http://www.accessfayetteville.orq. All questions regarding the RFP process should be directed to Andrea Foren at aforen(a ci.fayetteville.ar.us or (479)575-8220. Proposers shall be qualified to do business and licensed in accordance with all applicable laws of the state and local governments where the project is located. Pursuant to Ark. Code Annotated 22-9-203, the City of Fayetteville encourages all qualified small, minority and women business enterprises to propose and receive contracts for goods, services, and construction. Also, City of Fayetteville encourages all prospective Proposers to subcontract portions of their contract to qualified small, minority, and women business enterprises. The City of Fayetteville reserves the right to reject any or all proposals and to waive irregularities therein, and all Proposers shall agree that such rejection shall be without liability on the part of the City of Fayetteville for any damage or claim brought by any Proposer because of such rejections, nor shall the Proposers seek any recourse of any kind against the City of Fayetteville because of such rejections. The filing of any Proposal in response to this invitation shall constitute an agreement of the Proposer to these conditions. CITY OF FAYETTEVILLE By: Andrea Foren, CPPB Title: Purchasing Agent Ad date: 03/09/2011 City of Fayetteville, AR RFP 11-03, Collection Services Page 2 of 24 City of Fayetteville RFP 11-03, Collection Services Appendix SECTION: PAGE NUMBER Cover Page 1 Advertisement 2 SECTION A: General Terms & Conditions 4 SECTION B: Scope of Services and General Information 11 SECTION C: Vendor References 14 SECTION D: Pricing Proposal 15 SECTION E: Statement of Disclosure 16 SECTION F: Authorized Negotiator Information 17 SECTION G: Addendum Acknowledgement Form 18 SECTION H: Debarment Certification Form 19 SECTION I: Draft Agreement/Contract 20 Statement of No -Submittal 24 ATTACHMENTS: # OF PAGES Appendix A'(14 234-601) 9 Total Pages Appendix B (14 229-103) 4 Total Pages City of Fayetteville, AR RFP 11-03, Collection Services Page 3 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION A: General Terms & Conditions 1. SUBMISSION OF PROPOSAL: A written narrative describing the method or manner in which the Proposer proposes to satisfy requirements of this RFP. b. A description of the Proposer's experience in providing the same or similar services as outlined in the RFP. This description should include the names of the person(s) who will provide the services, their qualifications, and the years of experience in performing this type of work. Also, include the reference information requested in this RFP. c. The complete fee and cost to the City for all services outlined in this RFP. d. Proposal should be no more than twenty five (25) pages; single sided, standard, readable, print on standard 8.5x11 papers. Proposers shall also submit a three (3) page (maximum) executive summary. The following items will not count toward the page limitations: appendix, cover sheet, 3 -page executive summary, resumes (resumes shall be no more than 1 page per person), and forms provided by the City for completion. e. All Proposers shall submit six (6) sets of their proposal as well as one (1) electronic copy on a properly labeled CD or other electronic media device. The electronic copy submitted should be contained into one (1) file. The use of Adobe PDF documents is strongly recommended. Files contained on the CD or electronic media shall not be restricted against saving or printing. The electronic copy shall be identical to the original papers submitted. Electronic copies shall not be submitted via e-mail to City employees. f. Proposals will be reviewed following the stated deadline, as shown on the cover sheet of this document. The names of respondents only will be available after the deadline until a contract has been awarded by the Fayetteville City Council. All interested parties understand proposal documents will not be available until after a valid contract has been executed. g. Proposers shall submit a proposal based on documentation published by the Fayetteville Purchasing Division. h. Proposals shall be enclosed in sealed envelopes or packages addressed to the City of Fayetteville, Purchasing Division, Room 306, 113 W. Mountain, Fayetteville, AR 72701. The name, address of the firm and Bid, RFP, or RFQ number shall be on the outside of the packaging as well as on any packages enclosed in shipping containers or boxes. i. Proposals must follow the format of the RFP. Proposers should structure their responses to follow the sequence of the RFP. j. Proposers should have experience in work of the same or similar nature, and must provide references that will satisfy the City of Fayetteville. Proposer may furnish a reference list of clients for whom they have performed similar services and must provide information as requested in this document. k. Proposer is advised that exceptions to any of the terms contained in this RFP or the attached service agreement must be identified in its response to the RFP. Failure to do so may lead the City to declare any such term non-negotiable. Proposer's desire to take exception to a non-negotiable term will not disqualify it from consideration for award. 2. WRITTEN REQUESTS FOR INTERPRETATIONS OR CLARIFICATION: No oral interpretations will be made to any firms as to the meaning of specifications or any other contract documents. All questions pertaining to the terms and conditions or scope of work of this proposal must be sent in writing via e-mail to the City of Fayetteville, AR RFP 11-03, Collection Services Page 4 of 24 Purchasing Department. Responses to questions may be handled as an addendum if the response would provide clarification to the requirements of the proposal. All such addenda shall become part of the contract documents. The City will not be responsible for any other explanation or interpretation of the proposed RFP made or given prior to the award of the contract. 3. DESCRIPTION OF SUPPLIES AND SERVICES: Any manufacturer's names, trade name, brand name, catalog number, etc. used in specifications are for the purpose of describing and establishing general quality levels. Such references are NOT intended to be restrictive. Proposals will be considered for all brands that meet the quality of the specifications listed for any items. 4. RIGHTS OF CITY OF FAYETTEVILLE IN RE UEST FOR PROPOSAL PROCESS: In addition to all other rights of the City of Fayetteville, under state law, the City specifically reserves the following: a. The City of Fayetteville reserves the right to rank firms and negotiate with the highest-ranking firm. Negotiation with an individual Proposer does not require negotiation with others. b. The City of Fayetteville reserves the right to select the proposal that it believes will serve the best interest of the City. c. The City of Fayetteville reserves the right to accept or reject any or all proposals. d. The City of Fayetteville reserves the right to cancel the entire request for proposal. e. The City of Fayetteville reserves the right to remedy or waive technical or immaterial errors in the request for proposal or in proposals submitted. f. The City of Fayetteville reserves the right to request any necessary clarifications, additional information, or proposal data without changing the terms of the proposal. g. The City of Fayetteville reserves the right to make selection of the Proposer to perform the services required on the basis of the original proposals without negotiation. 5. EVALUATION CRITERIA: The evaluation criterion defines the factors that will be used by the selection committee to evaluate and score responsive, responsible and qualified proposals. Proposers shall include sufficient information to allow the selection committee to thoroughly evaluate and score proposals. Each proposal submitted shall be evaluated and ranked by a selection committee. The contract will be awarded to the most qualified Proposer, per the evaluation criteria listed in this RFP. Proposers are not guaranteed to be ranked. 6. COSTS INCURRED BY PROPOSERS: All expenses involved with the preparation and submission of proposals to the City, or any work performed in connection therewith, shall be borne solely by the Proposer(s). No payment will be made for any responses received, or for any other effort required of, or made by, the Proposer(s) prior to contract commencement. 7. ORAL PRESENTATION: An oral presentation and/or interview may be requested of any firm, at the selection committee's discretion. 8. CONFLICT OF INTEREST: The Proposer represents that it presently has no interest and shall acquire no interest, either direct or indirect, which would conflict in any mariner with the performance or services required hereunder, as provided in City of Fayetteville Code Section 34.26 titled "Limited Authority of City Employee to Provide Services To The City" which states the following: a. An employee of the City shall be permitted to furnish services as an independent contractor to the City only if: i. The employee fully discloses his or her direct or indirect financial interest in any contract or service agreement to the City Council and such services are approved by City Council Resolution; ii. No favoritism is allowed to the city employee over other possible service providers; iii. Such services am not for the same type as performed by the city employee in his or her regular city job, nor are services for the department wherein the employee works; City of Fayetteville, AR RFP 11-03, Collection Services Page 5 of 24 iv. The employee's immediate supervisor specifically approves such extension of employee service and ensures it will not adversely affect the employee's regular city employment duties; v. City employees who are not within the Parks and Recreation Department are specifically allowed to work as independent contractors as scorekeepers, referees and umpires for the Fayetteville Parks and Recreation Department without the need for a City Council Resolution. 9. WITHDRAWL OF PROPOSAL: A proposal may be withdrawn prior to the time set for the proposal submittal, based on a written request from an authorized representative of the firm; however, a proposal should not be withdrawn after the time set for the proposal. 10. LATE PROPOSAL OR MODIFICATIONS: a) Proposal and modifications received after the time set for the proposal submittal shall not be considered. Modifications in writing received prior to the deadline will be accepted. The City will not be responsible for misdirected bids. Bidders should call the Purchasing Division at (479) 575-8220 to insure receipt of their submittal documents prior to opening time and date listed. b) The time set for the deadline shall be local time for Fayetteville, AR on the date listed. All proposals shall be received in the Purchasing Division BEFORE the deadline stated. The official clock to determine local time shall be the atomic clock located in the Purchasing Division, Room 306 of City Hall, 113 W. Mountain, Fayetteville, AR. 11. LOCAL, STATE, AND FEDERAL COMPLIANCE REQUIREMENTS: a. The laws of the State of Arkansas apply to any purchase made under this request for proposal. Proposers shall comply with all local, state, and federal directives, orders and laws as applicable to this proposal and subsequent contract(s) including but not limited to Equal Employment Opportunity (EEO), Disadvantaged Business Enterprises (DBE), & OSHA as applicable to this contract. b. Pursuant to Arkansas Code Annotated §22-9-203 The City of Fayetteville encourages all qualified small, minority and women business enterprises to bid on and receive contracts for goods, services, and construction. Also, City of Fayetteville encourages all general contractors to subcontract portions of their contract to qualified small, minority and women business enterprises. 12. COLLUSION: The Proposer, by affixing his or her signature to this proposal, agrees to the following: "Proposer certifies that his proposal is made without previous understanding, agreement, or connection with any person, firm or corporation making a proposal for the same item(s) and/or services and is in all respects fair, without outside control, collusion, fraud, or otherwise illegal action." 13. RIGHT TO AUDIT, FOIA, AND JURISDICITON: a. The City of Fayetteville reserves the privilege of auditing a vendor's records as such records relate to purchases between the City and said vendor. b. Freedom of Information Act: City contracts and documents prepared while performing City contractual work are subject to the Arkansas Freedom of Information Act. If a Freedom of Information Act request is presented to the City of Fayetteville, the (Contractor) will do everything possible to provide the documents in a prompt and timely manner as prescribed in the Arkansas Freedom of information Act (A.C.A. §25-19- 101 et. seq.). Only legally authorized photocopying costs pursuant to the FOIA may be assessed for this compliance. c. Legal jurisdiction to resolve any disputes shall be Arkansas with Arkansas law applying to the case. 14. CITY INDEMNIFICATION: The successful Proposer(s) agrees to indemnify the City and hold it harmless from and against all claims, liability, loss, damage or expense, including but not limited to counsel fees, arising from or by reason of any actual or claimed City of Fayetteville, AR RFP 11-03, Collection Services Page 6 of 24 trademark, patent or copyright infringement or litigation based thereon, with respect to the goods/services or any part thereof covered by this order, and such obligation shall survive acceptance of the goods/services and payment thereof by the City. 15. VARIANCE FROM STANDARD TERMS & CONDITIONS: All standard terms and conditions stated in this request for proposal apply to this contract except as specifically stated in the subsequent sections of this document, which take precedence, and should be fully understood by Proposers prior to submitting a proposal on this requirement. 16. ADA REQUIREMENT FOR PUBLIC NOTICES & TRANSLATION: Persons with disabilities requiring reasonable accommodation to participate in this proceeding/event, should call 479.521.1315 (telecommunications device for the deaf), not later than seven days prior to the deadline. Persons needing translation of this document shall contact the City of Fayetteville, Purchasing Division, immediately. 17. CERTIFICATE OF INSURANCE: The successful Proposer shall provide a Certificate of Insurance in accordance with specifications listed in this request for proposal, prior to commencement of any work. Such certificate shall list the City of Fayetteville as an additional insured. Insurance shall remain valid throughout project completion. 18. PROCUREMENT POLICY FOR RECYCLED MATERIALS: The City of Fayetteville wishes to encourage its Proposer to use recycled products in fulfilling contractual obligations to the City and that such practices will serve as a model for other public entities and private sector companies. 19. PAYMENTS AND INVOICING: The Proposer must specify in their proposal the exact company name and address which must be the same as invoices submitted for payment as a result of award of this RFP. Further, the successful Proposer is responsible for immediately notifying the Purchasing Division of any company name change, which would cause invoicing to change from the name used at the time of the original RFP. Payment will be made within thirty days of invoice received. The City of Fayetteville is very credit worthy and will not pay any interest or penalty for untimely payments. Payments can be processed through Proposer's acceptance of Visa at no additional costs to the City for expedited payment processing. The City will not agree to any nonrefundable deposit or retainer that would remain property of the Proposer even if the hourly work actually performed by the Proposer would not justify such fee. The City will not agree to allow any increase in hourly rates by the contract without PRIOR Fayetteville City Council approval. 20. CANCELLATION: a. The City reserves the right to cancel this contract without cause by giving thirty (30) days prior notice to the Contractor in writing of the intention to cancel or with cause if at any time the Contractor fails to fulfill or abide by any of the terms or conditions specified. b. Failure of the contractor to comply with any of the provisions of the contract shall be considered a material breach of contract and shall be cause for immediate termination of the contract at the discretion of the City of Fayetteville. c. In addition to all other legal remedies available to the City of Fayetteville, the City reserves the right to cancel and obtain from another source, any items and/or services which have not been delivered within the period of time from the date of order as determined by the City of Fayetteville. d. In the event sufficient budgeted funds are not available for a new fiscal period, the City shall notify the vendor of such occurrence and contract shall terminate of the last day of the current fiscal period without penalty or expense to the City. City of Fayetteville, AR RFP 11-03, Collection Services Page 7 of 24 21. ASSIGNMENT, SUBCONTRACTING, CORPORATE ACQUISITIONS AND/OR MERGERS: a. The Contractor shall perform this contract. No assignment of subcontracting shall be allowed without prior written consent of the City. If a Proposer intends to subcontract a portion of this work, the Proposer shall disclose such intent in the proposal submitted as a result of this RFP. b. In the event of a corporate acquisition and/or merger, the Contractor shall provide written notice to the City within thirty (30) calendar days of Contractor's notice of such action or upon the occurrence of said action, whichever occurs first. The right to terminate this contract, which shall not be unreasonably exercised by the City, shall include, but not be limited to, instances in which a corporate acquisition and/or merger represent a conflict of interest or are contrary to any local, state, or federal laws. Action by the City awarding a proposal to a firm that has disclosed its intent to assign or subcontract in its response to the RFP, without exception shall constitute approval for purpose of this Agreement. 22. NON-EXCLUSIVE CONTRACT: Award of this RFP shall impose no obligation on the City to utilize the vendor for all work of this type, which may develop during the contract period. This is not an exclusive contract. The City specifically reserves the right to concurrently contract with other companies for similar work if it deems such an action to be in the City's best interest. In the case of multiple -term contracts, this provision shall apply separately to each item. 23. LOBBYING: Lobbying of selection committee members, City of Fayetteville employees, or elected officials regarding request for proposals, request for qualifications, bids or contracts, during the pendency of bid protest, by the bidder/proposer/protestor or any member of the bidder'slproposer'slprotestor's staff, and agent of the bidder/proposer/protestor, or any person employed by any legal entity affiliated with or representing an organization that is responding to the request for proposal, request for qualification, bid or contract, or has a pending bid protest is strictly prohibited either upon advertisement or on a date established by the City of Fayetteville and shall be prohibited until either an award is final or the protest is finally resolved by the City of Fayetteville; provided, however, nothing herein shall prohibit a prospective/bidder/proposer from contacting the Purchasing Division to address situations such as clarification and/or questions related to the procurement process. For purposes of this provision lobbying activities shall include but not be limited to, influencing or attempting to influence action or non -action in connection with any request for proposal, request for qualification, bid or contract through direct or indirect oral or written communication or an attempt to obtain goodwill of persons and/or entities specified in this provision. Such actions may cause any request for proposal, request for qualification, bid or contract to be rejected. 24. ADDITIONAL REQUIREMENTS: The City reserves the right to request additional services relating to this RFP from the Proposer. When approved by the City as an amendment to the contract and authorized in writing prior to work, the Contractor shall provide such additional requirements as may become necessary. 25. ADD OR DELETE LOCATIONS OR SERVICES: The City reserves the right to unilaterally add or delete locations and/or services, either collectively or individually, at the City's sole option, at any time after award has been made as may be deemed necessary or in the best interests of the City. In such case, the Contractor(s) will be required to provide services to this contract in accordance with the terms, conditions, and specifications. 26. SERVICES AGREEMENT: A written agreement, in substantially the form attached, incorporating the RFP and the successful proposal will be prepared by the City, signed by the successful Proposer and presented to the City of Fayetteville for approval and signature of the Mayor. 27. INTEGRITY OF REQUEST FOR PROPOSAL (RFP) DOCUMENTS: City of Fayetteville, AR RFP 11-03, Collection Services Page 8 of 24 Proposers shall use the original RFP form(s) provided by the Purchasing Division and enter information only in the spaces where a response is requested. Proposers may use an attachment as an addendum to the RFP form(s) if sufficient space is not available on the original form for the Proposer to enter a complete response. Any modifications or alterations to the original RFP documents by the Proposer, whether intentional or otherwise, will constitute grounds for rejection of such RFP response. Any such modifications or alterations a Proposer wishes to propose shall be clearly stated in the Proposers RFP response and presented in the form of an addendum to the original RFP documents. 28. OTHER GENERAL CONDITIONS: a) Prices shall include all labor, materials, overhead, profit, insurance, shipping, freight, etc., to cover the products and services presented. Sales tax is not to be included in the bid price. Applicable Arkansas sales tax laws will apply when necessary but will not be considered in award of this project. b) Proposers must provide the City with their proposals signed by an employee having legal authority to submit proposals on behalf of the Proposer. The entire cost of preparing and providing responses shall be borne by the Proposer. c) The City reserves the right to request any additional information it deems necessary from any or all Proposers after the submission deadline. d) The request for bid is not to be construed as an offer, a contract, or a commitment of any kind; nor does it commit the city to pay for any costs incurred by bidder in preparation. It shall be clearly understood that any costs incurred by the Proposer in responding to this request for proposal is at the Proposer's own risk and expense as a cost of doing business. The City of Fayetteville shall not be liable for reimbursement to the Proposer for any expense so incurred, regardless of whether or not the proposal is accepted. e) If products, components, or services other than those described in this bid document are proposed, the bidder must include complete descriptive literature for each. All requests for additional information must be received within five working days following the request. f) Any uncertainties shall be brought to the attention to Andrea Foren immediately via telephone (479.575.8220) ore -mail (aforen©ci.fayetteville.ar.us ). It is the intent and goal of the City of Fayetteville Purchasing Division to provide documents providing a clear and accurate understanding of the scope of work to be completed and/or goods to be provided. We encourage all interested parties to ask questions to enable all bidders to be on equal bidding terms. g) Any inquiries or requests for explanation in regard to the City's requirements should be made promptly to Andrea Foren, City of Fayetteville, Purchasing Agent via e-mail (aforenAci.fayetteville.ar.us) or telephone (479.575.8220). No oral interpretation or clarifications will be given as to the meaning of any part of this request for proposal. Ail questions, clarifications, and requests, together with answers, if any, will be provided to all firms via written addendum. Names of firms submitting any questions, clarifications, or requests will not be disclosed until after a contract is in place. h) At the discretion of the City, one or more firms may be asked for more detailed information before final ranking of the firms, which may also include oral interviews. NOTE: Each Proposer shall submit an "Authorized Negotiator Form" containing the signature of a duly authorized officer or agent of the Proposer's company empowered with the right to bind and negotiate on behalf of the Proposer for the amounts and terms proposed. i) Any information provided herein is .intended to assist the Proposer in the preparation of proposals necessary to properly respond to this RFP. The RFP is designed to provide qualified Proposers with sufficient basic information to submit proposals meeting minimum specifications and/or test requirements, but is not intended to limit a RFP's content or to exclude any relevant or essential data. j) Proposers irrevocably consent that any legal action or proceeding against it under, arising out of or in any manner relating to this Contract shall be controlled by Arkansas law. Proposer hereby expressly and irrevocably waives any claim or defense in any said action or proceeding based on any alleged lack of jurisdiction or improper venue or any similar basis. City of Fayetteville, AR RFP 11-03, Collection Services Page 9 of 24 k) The successful Proposer shall not assign the whole or any part of this Contract or any monies due or to become due hereunder without written consent of City of Fayetteville. In case the successful Proposer assigns all or any part of any monies due or to become due under this Contract, the Instrument of assignment shall contain a clause substan- tially to the effect that is agreed that the right of the assignee in and to any monies due or to become due to the successful Proposer shall be subject to prior liens of all persons, firms, and corporations for services rendered or materials supplied for the performance of the services called for in this contract. I) The successful Proposers attention is directed to the fact that all applicable Federal and State laws, municipal ordinances, and the rules and regulations of all authorities having jurisdiction over the services shall apply to the contract throughout, and they will be deemed to be included in the contract as though written out in full herein. The successful Proposer shall keep himself/herself fully informed of all laws, ordinances and regulations of the Federal, State, and municipal governments or authorities in any manner affecting those engaged or employed in providing these services or in any way affecting the conduct of the services and of ail orders and decrees of bodies or tribunals having any jurisdiction or authority over same. If any discrepancy or inconsistency should be discovered in these Contract Documents or in the specifications herein referred to, in relation to any such law, ordinance, regulation, order or decree, s/he shall herewith report the same in writing to City of Fayetteville. City of Fayetteville, AR RFP 11-03, Collection Services Page 10 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION B: Scope of Services and General Information 1. SCOPE OF WORK: The City of Fayetteville is currently soliciting proposals for the services of a qualified collection agency. Services to be provided by the perspective contractor will include, but shall not be limited to the following: 1) Collection of overdue Water, Sewer, and Sanitation accounts (Utility billing). 2) Collection of miscellaneous municipal accounts (Accounts Receivable billing). Collection agencies making proposals should be aware that all collected debts shall be turned over to the City of Fayetteville in full and then redistributed to the contracting collection agency at the rate of the contract agreement. All payments made by customers for debts that have been turned over to the collection agency shall be paid directly to the agency. The agency shall send a separate check to each City of Fayetteville division (Le. Billing & Collections and Accounting) for the total amount of all collected debts for each division within fifteen (15) days after the end of each month. The City of Fayetteville shall then redistribute the collection fee payment to the contracting collection agency at the rate of the contract agreement within forty-five (45) days of receiving the agency remittance. The collection services contract shall be one year from date of award, with an option to extend the contract up to four (4) additional terms of one (1) year each. In addition, the City of Fayetteville reserves the right to cancel this contract, at any time, with a thirty (30) day written notice. During the duration of the contract, the City of Fayetteville reserves the right to review, audit, and/or examine any and all records obtained by the collection agency pertaining to accounts, debts, and records turned over by the City of Fayetteville. In the event of cancellation of the contract, any and all records pertaining to City of Fayetteville accounts, debts, and records shall become the property of the City of Fayetteville and turned over accordingly within thirty (30) days after cancellation of the contract. Collection agencies wishing to submit proposals must provide the following criteria to qualify for consideration of this Request for Proposal: 1) Description of the agency's past history in collections. 2) Statement of how long the agency has been in existence and how long the agency has been located in the Northwest Arkansas area. 3) Submission of at leave five (5) current references, including contact person's name and phone number. This list must also include the average percentage of debts collected for each reference listed. 4) Submission of rate in which your agency proposes to bid for cost of services. 5) Resumes of all project team members Proposals will be considered based upon the ability of the collection agency to accomplish the objectives of the City of Fayetteville in collection of all utility bills and miscellaneous municipal billings. Agencies submitting proposals under this invitation must be bonded companies licensed to do business in the State of Arkansas. Agencies must show proof of bonding certificate and licensing from the State Board of Collection Agencies within ten days of contract award. Bonding certificate and any required license must to be kept current throughout the term of this contract. Proof of bonding certificate and licensing must be submitted before each renewal period. If the firm is licensed to do business in other states, please specify the states in which the firm is licensed to do business. The City of Fayetteville reserves the right to accept or reject any or all proposals, waive formalities in the bid process, and make a bid award deemed to be in the best interest of the City. Accounts, etc. will be turned over to the collection agency at the sole discretion of the City. Cases while on appeal will not be turned over for collection. Only debts with past due amounts of 90 days or older will be considered for reference to a collection agency. The City of Fayetteville shall submit water, sewer, and sanitation accounts (Utility Billing) to the agency on a regular monthly basis. District Court fines shall be submitted to the agency on an as needed basis only and are not a primary scope of this RFP. Miscellaneous municipal billings may be submitted to the agency on an as needed basis. In instances where a credit adjustment is made to debts that have already been submitted to the agency, the City shall City of Fayetteville, AR REP 11-03, Collection Services Page 11 of 24 simply notify the agency of the adjustment and the amount due on the debt shall be changed with no payment due to the agency for the credited adjustment amount. Proposals should be prepared simply and economically, providing a straight forward, concise description of the agency or firm's ability to meet the requirements for the contract. Emphasis should be placed on completeness and clarity of content. 2. PROJECT CONDITIONS: a. After an account has been turned over to the selected collection agency, the agency shall have one full year (365 calendar days from date turned over) to collect any funds at the agreed upon contract rate. In the event an account is turned over to the collection contractor and one year passes with no funds collected, the account shall be turned back over to the City or the selected contractor shall take a reduced rate, flat fee, or preferably NO fee. Proposers should address this desire in their submitted proposal. b. All proposals conform to state laws regarding collection services from cities, including but not limited to Arkansas Code Ann. 14-234-601 et seg. and Arkansas Code Ann. 14-229-103. A.) Appendix A — Arkansas Code Ann. § 14-234-601 (Act 769 of 2003 & Act 360 of 207) — 9 Pages B.) Appendix B — Arkansas Code Ann. § 14-229-103 (Act 195 of 2009) - 4 Pages c, All utility accounts collected by the Billing and Collections Division as a result of Acts 769, 360, and 195 shall become the property of the Billing and Collections Division with no fees assessed by the collection agency. d. In the event a flat collection fee is proposed, regardless of collection balance, the City desires a tiered recovery chart for all accounts turned over to collections. Proposers shall provide tiered pricing structure to provide a higher fee for accounts collected immediately vs. accounts that are not collected for 6 months, 9 months, etc. e. It is the desire of the City to contract with an entity that can demonstrate adequate knowledge and experience for collection efforts in the State of Arkansas. 3. SELECTION METHODOLOGY: The City of Fayetteville professional selection policy PUR 13 provides for the procurement of professional services based upon professional qualifications. A selection committee, consisting of the Chief Financial Officer or representative, designated Department Directors, or other designated City staff, shall review and rate the submitted proposals. The proposals/qualifications will be evaluated based upon a point system using the percentages indicated below. The selection committee has established the following point levels with respect to this RFP. The relative weight of each requirement is indicated next to each item. 1) 25 Qualifications in Relation to Specific Project to be Performed: Information reflecting qualifications of the firm. Indicated specialized experience and technical competence of the firm in connection with the type and complexity of the service required. Subcontractors, if used, must be listed with information on their organization. 2) 25 Experience, Competence, and Capacity for Performance: Information reflecting the names, titles, and qualifications (including experience and technical competence) of the major personnel assigned to this specific project. Provide detailed breakdown of subcontractor's staff to be used and how they are to be used to supplement your staff. 3) 10 Proposed Method of Doing Work: A proposed work plan (description of how the project would be conducted as well as other facts concerning approach to scope you wish to present) indicating methods and schedules for accomplishing each phase of work. Include with this the amount of work presently underway. City of Fayetteville, AR RFP 11-03, Collection Services Page 12 of 24 4) 25 Past Performance: Previous evaluations shall be considered a factor, If previous evaluations with the City are not available, the professional firm's past performance records with others will be used, including quality of work, timely performance, diligence, ability to meet past budgets, and any other pertinent information. Firm will provide a list of similar jobs performed and person whom we can contact for information. 5) 15 Price: The total amount of money, fees, charges, etc. paid by the City. 4. PERIOD OF CONTRACT: Initial contract period will be for one year from date contract is finalized. However, this agreement may be renewed for four (4) consecutive one (1) year terms. The City of Fayetteville reserves the right to cancel this contract, at any time, with a thirty (30) day written notice. City of Fayetteville, AR RFP 11-03, Collection Services Page 13 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION C: Vendor References The following information is required from all Proposers so all proposals may be reviewed and properly evaluated COMPANY NAME: BUSINESS ADDRESS: NUMBER OF YEARS IN BUSINESS: HOW LONG IN PRESENT LOCATION: TOTAL NUMBER OF CURRENT EMPLOYEES: FULL TIME PART TIME NUMBER OF EMPLOYEES YOU PLAN TO USE TO SERVICE THIS CONTRACT: FULL TIME PART TIME PLEASE LIST LOCAL COMMERCIAL AND/OR GOVERNMENTAL REFERENCES THAT YOU HAVE PREVIOUSLY PERFORMED SIMILAR CONTRACT SERVICES FOR WITHIN THE PAST FIVE (5) YEARS (All fields must be completed): 1. 2. COMPANY NAME COMPANY NAME CITY, STATE, ZIP CITY, STATE, ZIP CONTACT PERSON CONTACT PERSON TELEPHONE TELEPHONE FAX NUMBER FAX NUMBER E-MAIL ADDRESS E-MAIL ADDRESS 3. 4. COMPANY NAME COMPANY NAME CITY, STATE, ZIP CITY, STATE, ZIP CONTACT PERSON CONTACT PERSON TELEPHONE TELEPHONE FAX NUMBER FAX NUMBER E-MAIL ADDRESS E-MAIL ADDRESS City of Fayetteville, AR RFP 11-03, Collection Services Page 14 of 24 City of FayettevilleRFP 11-03, Collection Services SECTION D: Price Proposal TO BE SUBMITTED WITH ALL PROPOSALS The Proposer understands the City of Fayetteville reserves the right to reject any or all bids and to waive formalities deemed to be in the City's best interest. PRICE PER PROPOSAL SPECIFICATIONS: $ OR PRICE PER PROPOSAL SPECIFICATIONS: r account % per collection item ** Please attach any documentation necessary to completely explain your fees in detail. Write "see attach" in the above fields if needed. ** COMPANY NAME SUBMITTED BY TITLE ADDRESS TELEPHONE EMAIL ADDRESS AUTHORIZED SIGNATURE All inclusive proposals must be submitted before Friday, March 25, 2011 at 2:00:00 PM local time, to the City o₹ Fayetteville, Purchasing Office, Room 306, 113 West Mountain Street, Fayetteville, Arkansas, 72701 in a sealed envelope marked "RFP 11-03, Collection Services". Each Proposer will be required to meet or exceed the specifications attached. Any deviation must be noted with specifications attached to bid proposal. Questions related to the proposal process should be directed to Andrea Foren, City of Fayetteville Purchasing Division, (479) 575-8220, or by e-mail aforentV ci.fayetteville.ar.us. City of Fayetteville, AR RFP 11-D3, Collection Services Page 15 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION E: Statement of Disclosure — To Be Submitted With ALL Proposals This page does not count towards page limitations set forth in this request for proposal or bid. Proposer must disclose any possible conflict of interest with the City of Fayetteville, including, but not limited to, any relationship with any City of Fayetteville employee. Your response must disclose if a known relationship exists between any principal or employee of your firm and any City of Fayetteville employee or elected City of Fayetteville official. If, to your knowledge, no relationship exists, this should also be stated in your response. Failure to disclose such a relationship may result in cancellation of a purchase and/or contract as a result of your response. This form must be completed and returned in order for your bid/proposal to be eligible for consideration. PLEASE CHECK ONE OF THE FOLLOWING TWO OPTIONS, AS IT APPROPRIATELY APPLIES TO YOUR FIRM: 1) NO KNOWN RELATIONSHIP EXISTS 2) RELATIONSHIP EXISTS (Please explain) PLEASE FILL OUT THE SECTION BELOW AND SUBMIT THIS FORM WITH YOUR BID OR PROPOSAL: 1.) I, as an officer of this organization, or per the attached letter of authorization, am duly authorized to certify the information provided herein are accurate and true; and 2.) My organization shall comply with all State and Federal Equal Opportunity and Non -Discrimination requirements and conditions of employment. Printed Name Signature Date City of Fayetteville, AR RFP 11-03, Collection Services Page 16 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION F: Authorized Negotiator Information — To Be Submitted With ALL Proposals At the discretion of the City, one or more firms may be asked for more detailed information before final ranking of the firms, which may also include oral interviews. NOTE: Each Proposer shall submit to the City a primary contact name, e-mail address, and phone number (preferably a cell phone number) where the City selection committee can call for clarification or interview via telephone. �Pnmary Contact me:. Information Name of Firm: Name of Primary Contact: Title of Primary Contact: Phone#1 (cell preferred): E -Mail Address: PART 2 Contact for ga Binding Cfly Phone#2: Is the primary contact (listed in Part I) able to legally bind contracts? YES NO {circle one) If no, please list contact that can legally bind a contract for the firm: Name: Title: Phone#1 (cell preferred): E -Mail Address: Date: Signed: Phone#2: City of Fayetteville, AR RFP 11-03, Collection Services Page 17 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION G: Addendum Acknowledgement Form Please acknowledge receipt of addenda for this invitation to bid or request for proposal by signing and dating below. All addendums are hereby made a part of the bid or RFP documents to the same extent as though it were originally included therein. Proposers/Bidders should indicate their receipt of same in the appropriate blank listed herein. Failure to do so may subject vendor to disqualification. [ADDENDUM DATE NO. SIGNATURE AND PRINTED NAME ACKNOWLEDGED Note: Prior to submitting the response to this solicitation, it is the responsibility of the firm submitting a response to confirm if any addenda have been issued. If such document(s) has been issued, acknowledge receipt by signature and date in the section above. Failure to do so may result in being considered non- responsive. Information regarding addenda issued is available on the City of Fayetteville website under the Purchasing Division at www.acceSsfayettevilie.org by selection "Bid's, RFP's, and RFQ's" under the "Business" heading. City of Fayetteville, AR RFP 11-03, Collection Services Page 18 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION H: Debarment Certification Form - THIS FORM SHALL BE SUBITTED WITH ALL PROPOSALS As an interested party on this project, you are required to provide debarment/suspension certification indicating that you are in compliance with the below Federal Executive Order. Certification can be done by completing and signing this form. Debarment: Federal Executive Order (E.O.) 12549 "Debarment and Suspension" requires that all contractors receiving individual awards, using federal funds, and all sub -recipients certify that the organization and its principals are not debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded by any Federal department or agency from doing business with the Federal Government. Your signature certifies that neither you nor your principal is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any federal department or agency. Questions regarding this form should be directed to the City of Fayetteville Purchasing Division. NAME: COMPANY: PHYSICAL ADDRESS: MAILING ADDRESS: _ PHONE: EMAIL: SIGNATURE: DATE: FAX: NOTICE: CAUSE: Debarment by an agency pursuant to FAR 9.406-2, GPO Instructions 110.11A, or PS Publication 41, for one or more of the following causes (a) conviction of or civil judgment for fraud violation of antitrust laws, embezzlement, theft, forgery, bribery, false statements, or other offenses indicating a lack of business integrity; (b) violation of the terns of a Government contract, such as a willful failure to perform in accordance with its terms or a history of failure to perform; or (c) any other cause of a serious and compelling nature affecting responsibility. (See Code N- Debarment pursuant to FAR 9.406 2(b)(2) Drug Free Workplace Act of 1988.) TREATMENT: Contractors are excluded from receiving contracts, and agencies shall not solicit offers from, award contracts to renew or otherwise extend the duration of current contracts, or consent to subcontracts with these contractors, unless the City determines that there is a compelling reason for such action. Government prime contractors, when required by the terms of their contract, shall not enter into any subcontract equal to or in excess of $25,000 with a contractor that is debarred, suspended, or proposed for debarment, unless there is a compelling reason to do so. Debarments are for a specified term as determined by the debarring agency and as indicated in the listing. City of Fayetteville, AR RFP 11-03, Collection Services Page 19 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION I: Draft Agreement This contract executed this day of , 2011, between the City of Fayetteville, Arkansas, and Contractor .In consideration of the mutual covenants contained herein, the parties agree as follows. WITNES SETH: WHEREAS, City has previously determined that it has a need for a PROVIDER FOR COLLECTION SERVICES; and WHEREAS, City, after soliciting competitive proposals for such services pursuant to City of Fayetteville RFP 11-03 (herein after referred to as Request for Proposal or RFP), City has awarded this contract to Contractor; and WHEREAS. Contractor has represented that it is able to satisfactorily provide these services according to the terms and conditions of the RFP, which are incorporated herein by reference, and the terms and conditions are contained herein; and NOW THEREFORE, in consideration of the above and mutual covenants contained herein, the parties agree as follows: 1. Services to be Performed: Contractor hereby agrees to provide the City with COLLECTION SERVICES, as requested and more specifically outlined in the RFP, this agreement, and all subsequent official documents that form the Contract Documents for this Agreement. 2. Time of Service: Services shall be performed in a timely manner, as specified in the RFP. 3. Term of Agreement: Initial contract period will be for one year from date of this contract. This agreement may be renewed for four (4) consecutive one (1) year terms. Each such annual renewal term shall be subject to approval of renewal by the City Council, and budget approval by the City Council. 4. Amendment of Contract: This Contract may be amended only by mutual agreement of the parties. 5. Assignment and Subcontracting: Contractor shall perform this contract. No assignment or subcontracting shall be allowed without the prior written consent of the City. In the event of a corporate acquisition and/or merger, Contractor shall provide written notice to the City within thirty (30) business days of City of Fayetteville, AR RFP 11-03, Collection Services Page 20 of 24 such notice of action or upon the occurrence of said action, whichever occurs first. The right to terminate this contract, which shall not be unreasonably exercised by the City, shall include, but not be limited to, instances inn which a corporate acquisition and/or merger represent a conflict of interest or are contrary to any local, state, or federal laws. Action by the City awarding a proposal to a Proposer, which has disclosed its intent to assign or subcontract in its response to the RFP, without exception shall constitute approval for purposes of this Agreement. 6. Cancellation: The City of Fayetteville reserves the right to cancel this Contract, without cause, by giving thirty (30) days notice to Contractor of the intent to cancel, or with cause if at any time Contractor fails to fulfill or abide by any of the terms or conditions specified. Failure of the Contractor to comply with any of the provisions of this contract shall be considered a material breach of contract and shall be cause for immediate termination of the contract at the discretion of the City of Fayetteville. In addition to all other legal remedies available to the City of Fayetteville, the City reserves the right to cancel and obtain from another source any services which have not been provided within the period of time stated in the proposal, or if no such time is stated, within a reasonable period of time from the date of order or request, as determined by the City. In the event that sufficient budgeted funds are not available for a fiscal period, the City shall notify Contractor of such occurrence and the Contract shall terminate on the last day of the then current fiscal period without penalty or expense to the City. The City reserves the right to terminate within the thirty (30) day notice because of budgetary issues. 7. Compensation: As compensation for Contractor providing services to the City as described herein, the City shall pay Contractor in arrears, based on the submission of invoices for work completed and properly authorized. 8. Permits & Licenses: Contractor shall secure and maintain any and all permits and licenses required to complete this contract. 9. Minimum Insurance Requirements: Contractor shall maintain insurance in at least the amounts required in the RFP throughout the term of this contract. Contractor must provide a Certificate of Insurance in accordance with the insurance requirements listed within the RFP, evidencing such coverage prior to issuance City of Fayetteville, AR RFP 11-03, Collection Services Page 21 of 24 of a purchase order or commencement of any work under this contract. Contractor shall ensure that any subcontractors or persons hired by subcontractors maintain the same level of insurance coverage as Contractor. 10. Indemnification: Contractor shall indemnify, pay the cost of defense, including but not limited to attorneys' fees, and hold harmless the City from all suits, actions or claims of any character brought on account of any injuries or damages received or sustained by any person, persons, or property by or from the said Contractor; or by, or in consequence of any neglect in safeguarding the work; or on account of any act or omission, neglect or misconduct of Contractor ; or by, or on account of, any claim or amounts recovered under the Workers' Compensation Law or of any other laws, by-laws, ordinances, order of decree, except only such injury or damage as shall have been occasioned by the sole negligence of the City of Fayetteville. The first ten dollars ($10.00) of compensation received by Contractor represents specific consideration for this indemnification obligation. 11. Governing Law & Jurisdiction: Legal jurisdiction to resolve any disputes shall be Washington County, Arkansas with Arkansas law applying to the case. 12. Severability: The terms and conditions of this agreement shall be deemed to be severable. Consequently, if any clause, term, or condition hereof shall be held to be illegal or void, such determination shall not affect the validity of legality of the remaining terms and conditions, and notwithstanding any such determination, this agreement shall continue in full force and effect unless the particular clause, term, or condition held to be illegal or void renders the balance of the agreement impossible to perform. 13. Changes in Scope or Price: Changes, modifications, or amendments in scope, price, or fees to this contract shall not be allowed without a prior formal contract amendment approved by the Mayor and the City Council in advance of the change in scope, cost or fees. 14. Freedom of Information Act: Documents prepared while performing city contractual work are subject to the Arkansas Freedom of Information Act. If a Freedom of Information Act request is presented to the City of Fayetteville, Contractor will do everything possible to provide the documents in a prompt and timely manner as prescribed in the Arkansas Freedom of Information Act (A.C.A. §25-19-101 et. seq.) Only legally authorized photocopying costs pursuant to the FOIA may be assessed for this compliance. City of Fayetteville, AR REP 11-03, Collection Services Page 22 of 24 15. Documents Comprising Contract: The contract shall include this Agreement for a PROVIDER FOR COLLECTION SERVICES, as well as the following documents, which are incorporated herein by reference. a. City of Fayetteville's Request for Proposal and all of its addenda and attachments issued on 2011; b. Contractor's final pricing schedule c. Contractor's Certificate of insurance as required, listing the City as an additional insured; d. Contractor's Proposal. If there is a conflict between the terms of this Agreement and the above referenced documents, the conflict shall be resolved as follows: the terms of this Agreement shall prevail over the other documents, and the terms of the remaining documents shall be given preference in their above listed order. WITNESS OUR HANDS THIS DAY OF , 2011. CITY OF FAYETTEVILLE, FAYETTEVILLE, ARKANSAS LIONELD JORDAN, Mayor Attest: Sondra Smith, City Clerk CONTRACTOR BY NAME AND TITLE ATTEST: COMPANY SECRETARY BUSINESS ADDRESS City of Fayetteville, AR RFP 11-03, Collection Services Page 23 of 24 City of Fayetteville RFP 11-03, Collection Services Statement of No Submittal — if Applicable In order to assist the Purchasing Division of Fayetteville in evaluating and improving our solicitation process, we are asking for completion of this form and returning via fax or e-mail. By submitting this form, it will assist us in evaluating all response, improving our bid solicitation process, and to maintain a positive relationship with our vendors. We, the undersigned, have declined to bid for the following reason(s): 1. 2. 3. 4. 5. 6. *NAME OF FIRM: *BUSINESS ADDRESS: We do not offer this service/product Our schedule would not permit us to perform Unable to meet specifications Insufficient time to respond to the Invitation to Bid We are unable to meet bond requirements Other (Explain) *CITY: *STATE: *ZIP: *PHONE: FAX: *E-MAIL ADDRESS: *BY :( PRINTED NAME) *AUTHORIZED SIGNATURE: *TITLE: *PLEASE LIST OTHER COMMENTS BELOW: *DATE: *Please note: We appreciate your feedback on this form and are very interested in your reason for not bidding. Please do not hesitate to contact us at 479-575-8220 if you have questions, comments, or concerns regarding these bid documents. City of Fayetteville, AR RFP 11-03, Collection Services Page 24 of 24 Page 2 of 3 RFP 11-03, Collection Services Wstw. Appendix A A.C.A. § 14-234-601 Page 1 C West's Arkansas Code Annotated Currentness Title 14. Local Government Subtitle 14. Solid Waste Disposal, Waterworks, and Sewers Generally (Chapters 229 to 247) sp Chapter 234. Waterworks and Water Supply Rl Subchapter 6. Collection of Water Bills That Are Delinquent ♦ § 14-234-601. Definitions As used in this subchapter: (1) "Water association" means any entity organized under the laws of the State of Arkansas, whether for profit or not for profit, that provides, distributes, transmits, treats, pumps, or stores raw or potable water for the be- nefit of members of the general public or commercial, industrial, and other users; and (2) "Water system" means any entity that provides, distributes, transmits, treats, pumps, or stores raw or pot- able water, wastewater, or sewage for the benefit of members of the general public and commercial, industrial, and other users, including without limitation, the following entities that perform such activities: (A) Municipalities; (B) Counties; (C) Public facilities boards; (D) Public water authorities; (E) Central Arkansas Water; (F) Regional water distribution districts; and (G) Water associations. CREDIT(S) Acts of 2003, Act 769, § 1, eff. July 16, 2003; Acts of 2007, Act 360, § 1, eff. July 31, 2007. ® 2011 Thomson Reuters. No Claim to Orig. US Gov. Works. https://web2.westlaw.com/print/printstream.aspx?sv=Split&prft=HTMLE&fn=top&mt=... 1/26/2011 Page 3 of 3 A.C.A, § 14-234-601 HISTORICAL AND STATUTORY NOTES Arkansas Code Revision Commission Technical changes were made in 2007 to conform with the official Arkansas Code of 1987 as approved by the Arkansas Code Revision Commission. A.C.A. § 14-234-601, AR ST § 14-234-601 Page 2 Current through end of 2010 Fiscal Sess., including changes made by Ark. Code Rev. Comm. received through 9130110. (C) 2010 Thomson Reuters END OF DOCUMENT ® 2011 Thomson Reuters. No Claim to Orig. US Gov. Works. https://web2.westlaw.com/print/printstream.aspx?sv=Split&pr HTMLE&ft1=_top&mt=... 1/26/2011 Page 2 of 2 W stlaw A.C.A. § 14-234-602 Page 1 West's Arkansas Code Annotated Currentness Title 14. Local Government Subtitle 14. Solid Waste Disposal, Waterworks, and Sewers Generally (Chapters 229 to 247) 'gyp Chapter 234. Waterworks and Water Supply Subchapter 6. Collection of Water Bills That Are Delinquent - § 14-234-602. Liability Any person who is delinquent on the payment for water, wastewater service, or sewer service provided by a wa- ter system may be held liable, at the discretion of a court of competent jurisdiction, for attorney's fees and costs incurred in the collection of the delinquency. CREDIT(S) Acts of 2003, Act 769, § 2, eff. July 16, 2003; Acts of 2007, Act 360, § 2, eff. July 31, 2007. A.C.A. § 14-234-602, AR ST § 14-234-602 Current through end of 2010 Fiscal Sess., including changes made by Ark. Code Rev. Comm. received through 9130/10. (C) 2010 Thomson Reuters END OF DOCUMENT ® 2011 Thomson Reuters. No Claim to Orig. US Gov. Works. https://web2.westlaw.com/printlprintstream.aspx?sv--Split&prft=HTMLE&fin= top&mt=... 1/26/2011 Page 2 of 2 W tlaw A.C.A. § 14-234-603 Page 1 C West's Arkansas Code Annotated. Currentness Title 14. Local Government Subtitle 14. Solid Waste Disposal, Waterworks, and Sewers Generally (Chapters 229 to 247) ' Chapter 234. Waterworks and Water Supply "® Subchapter 6. Collection of Water Bills That Are Delinquent — § 14-234-603. Refusal of water service for delinquency If a person who is delinquent on the payment of an undisputed bill for water service, wastewater service, or sew- er service provided by a water system within this state moves into another area of this state and that person ap- plies for or receives water from another water system, if the person's former water system establishes that there is no dispute that the delinquent amount is properly due and owed by that particular individual in that amount, the new water system shall refuse to provide water service to the delinquent person until the person provides proof of curing the delinquency_ CREDIT(S) Acts of 2003, Act 769, § 3, eff. July 16, 2003; Acts of 2007, Act 360, § 3, eff. July 31, 2007. A.C.A. § 14-234-603, AR ST § 14-234-603 Current through end of 2010 Fiscal Sess., including changes made by Ark. Code Rev. Comm. received through 9/30/10. (C) 2010 Thomson Reuters END OF DOCUMENT ® 2011 Thomson Reuters. No Claim to Odg. US Gov. Works. https://web2,westlaw.com/print/printstream.aspx?sv=Spl t&prft=HTMLE&fn -top&mt=... 1/26/2011 Stricken language would be deleted from and underlined language would be added to the law as it existed prior to this session of the General Assembly. 1 State of Arkansas As Engrossed: H2114103 H2121103 2 84th General Assembly A Bill Act 769 of 2003 3 Regular Session, 2003 HOUSE BILL 1389 4 5 By: Representatives Ormond, Adams, Berry, Bolin, Boyd, Dangeau, Edwards, D. Evans, Gipson, Jacobs, 6 Jeffrey, King, Mack, Medley, Milligan, Pate, Pickett, L. Prater, S. Prater, Roebuck, Schulte, Scroggin, J. 7 Taylor, Thomas, Verkamp, Walters 8 9 to For An Act To Be Entitled 11 AN ACT TO PROVIDE A PROCEDURE TO HELP COLLECT 12 DELINQUENT MUNICIPAL, COUNTY, DISTRICT, OR RURAL 13 WATER BILLS; AND FOR OTHER PURPOSES. 14 15• Subtitle 16 TO PROVIDE A PROCEDURE TO HELP COLLECT 17 DELINQUENT MUNICIPAL, COUNTY, DISTRICT, 18 OR RURAL WATER BILLS. 19 20 21 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 22 23 SECTION 1. For purposes of this act: 24 (1) "Water association" means any corporation, whether for 25 profit or not for profit, that provides, distributes, transmits treats 26 pumps, or stores raw or potable water to, or for the benefit of, members of 27 the general public or commercial, industrial, and other users; nd 28 (2) "Water system" means any entity that provides, distributes 29 transmits, treats, pumps, or stores raw or potable water to or for the 30 benefit of members of the general public and commercial industrial, and 31 other users, including, without limitation, the following entities that 32 perform such activities: 33 (A) Municipalities; 34 (B) Counties; 35 (C) Public facilities boards; 36 (D) Public water authorities; 02042003EAN1532.T W OOS3 As Engrossed: H2/14/03 HZ/21/03 HR1389 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 (E) Central Arkansas Water; (F) Regional water distribution districts; and (G) Water associations. SECTION 2. Any erson who is delinquent on the payment for water provided by a water system may be held liable, at the court's discretion, for attorney's fees and costs incurred in the collection of the delinquency. SECTION 3. When a person who is delinquent on the payment of an undisputed bill for water service provided by a water system within this state, moves into another area of this states and that person applies for or receives water from another water system, if the person's former water system establishes that there is no dispute that the delinquent amount is properly due and owed by that particular individual in that amount, the new water system shall refuse to provide water service to the delinquent person until the person provides proof of curing the delinquency. SECTION 4. No provision of this act shall apply to a water system that is regulated by the Arkansas Public Service Commission as a "public utility" ,,._,_.._....... as provided in Arkansas Code § 23-I-101(9). Is! Ormond, et al APPROVED: BECAME LAW ON 3/27/2003, WITHOUT THE GOVERNOR'S SIGNATURE. 2 02042003EAN1532.TWO053 As Engrossed: H2/14/03 02121103 I. 3 4 5 HB1389 3 02042003EAN1532.TW0053 Stricken language would be deleted from and underlined language would be added to the law as it existed prior to this session of the General Assembly. Act 360 of the Regular Session 1 State of Arkansas 2 86th General Assembly A Bill 3 Regular Session, 2007 HOUSE BILL 1607 4 5 By: Representative Hoyt 6 7 8 For An Act To Be Entitled 9 AN ACT TO AMEND THE PROCEDURE FOR THE COLLECTION 10 OF DELINQUENT MUNICIPAL, COUNTY, DISTRICT, OR 11 RURAL WATER OR WASTEWATER BILLS; AND FOR OTHER 12 PURPOSES, 13 14 Subtitle 15 AN ACT TO AMEND THE PROCEDURE FOR THE 16 COLLECTION OF DELINQUENT MUNICIPAL, 17 COUNTY, DISTRICT, OR RURAL WATER OR 18 WASTEWATER BILLS. 19 20 21 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 22 23 SECTION 1. Arkansas Code § 14-234-601 is amended to read as follows: 24 14-234-601. Definitions. 25 go* puypose of As used in this subchapter: 26 (1) "Water association" means any corporation entity organized 27 under the laws of the State of Arkansas, whether for profit or not for 28 profit, that provides, distributes, transmits, treats, pumps, or stores raw 29 or potable water to or for the benefit of members of the general public or 30 commercial, industrial, and other users; and 31 (2) "Water system" means any entity that provides, distributes, 32 transmits, treats, pumps, or stores raw or potable water, wastewater, or 33 sewage to or for the benefit of members of the general public and commercial, 34 industrial, and other users, including, without limitation, the following 35 entities that perform such activities: 02-11-2007 20:01 MGF256 HB1607 1 (A) Municipalities; 2 .(B) Counties; 3 (C) Public facilities boards; 4 (D) Public water authorities; 5 (E) Central Arkansas Water; 6 (F) Regional water distribution districts; and 7 (G) Water associations. 8 9 SECTION 2. Arkansas Code § 14-234-602 is amended to read as follows: .10 14-234-602. Liability. 11 Any person who is delinquent on the payment for water, wastewater 12 service, or sewer service provided by a water system may be held liable, at 13 the discretion of the court a court of comvetent lurisdietion, for attorney's 14 fees and costs incurred in the collection of the delinquency. 15 16 SECTION 3. Arkansas Code § -234-603 is amended to read as follows: 17 14-234-603. Refusal of water service for delinquency. 18 When If a person who is delinquent on the payment of an undisputed bill 19 for water service, wastewater service, or sewer service provided by a water 20 system within this state moves into another area of this state and that 21 person applies for or receives water from another water system, if the 22 person's former water system establishes that there is no dispute that the 23 delinquent amount is properly due and owed by that particular individual in 24 that amount, the new water system shall refuse to provide water service to 25 the delinquent person until the person provides proof of curing the 26 delinquency. 27 28 APPROVED: 3119/2007 29 30 31 32 33 34 35 36 2 02-11-2007 20:01 MGF256 Page 2 of 3 Westtaw. A.C.A. § 14-229-103 RFP 11-03, Collection Services Appendix B Page 1 C West's Arkansas Code Annotated Currentness Title 14. Local Government 'M Subtitle 14. Solid Waste Disposal, Waterworks, and Sewers Generally (Chapters 229 to 247) 91 Chapter 229. General Provisions (Refs & Annos) _ § 14-229-103. Termination of water service (a) A municipality owning or operating a public sewer system or sewer improvement district that provides sewer service to its citizens may request a water association, a water improvement district, or a water authority that provides the water service to terminate the water service to a resident who is delinquent at least thirty (30) days in making payment to the municipality for sewer service or solid waste service. (b) The water association, water improvement district, or water authority shall send notice to a person who is de- linquent in making payments for sewer service or solid waste service oldie date the water service will be ter- minated and shall terminate the water service upon that date unless the balance due the municipality for sewer service or solid waste service is paid. (c) The water association, water improvement district, or water authority shall terminate the water service upon certification by the municipality that the person: (1) Is more than thirty (30) days delinquent in making payments for sewer service or solid waste service; and (2) Has been sent notice of the termination of the water service as required under subsection (b) of this sec- tion. (d) As used in this section, "water authority" means the public body politic and governmental entity organized under the Water Authority Act, § 4-35-101 et seq. CREDIT(S) Acts of 1995, Act 717, § 1; Acts of 2009, Act 195, § 1, eff. July 31, 2009. LIBRARY REFERENCES Environmental Law €n, 371. Waters and Water Courses € 203(13). ® 2011 Thomson Reuters. No Claim to Orig. US Gov_ Works. https://web2.westlaw.com/print/printstream.aspx?sv--Split&prft=HTMLE&fay.= top&mt=... 1/26/2011 Page 3 of 3 A.C.A. § 14-229-103 Page 2 Westlaw Key Number Searches: 149Ek37 1; 405k203(13). C.J.S. Waters §§ 707 to 710,715 to 716, 720 to 722. A.C.A. § 14-229-103, AR ST § 14-229-103 Current through end of 2010 Fiscal Sess., including changes made by Ark. Code Rev. Comm. received through 9/30/10. (C) 2010 Thomson Reuters END OF DOCUMENT ® 2011 Thomson Reuters. No Claim to Orig. US Gov. Works. https://web2.westlaw.eom/printlprintstream.aspx?sv=Split&prft=HTMLE&fii=fop&mt=... 1/26/2011 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Stricken language would be deleted from and underlined language would be added to the law as it existed prior ₹o this session of the General Assembly. Act 195 of the Regular Session State of Arkansas A Bill General Assembly A Bill Regular Session, 2009 HOUSE BILL 1048 By: Representative Woods For An Act To Be Entitled AN ACT TO EXTEND TO A MUNICIPAL SEWER ENTITY THE ABILITY TO REQUEST TERMINATION OF WATER SERVICE BY A WATER AUTHORITY FOR DELINQUENT SOLID WASTE SERVICE PAYMENT; AND FOR OTHER PURPOSES. Subtitle TO EXTEND TO A MUNICIPAL SEWER ENTITY THE ABILITY TO REQUEST TERMINATION OF WATER SERVICE EY A WATER AUTHORITY FOR DELINQUENT SOLID WASTE SERVICE PAYMENT. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: SECTION 1. Arkansas Code § 14-229-103 is amended to read as follows: 14-229-103. Termination of water service. (a) Aay A municipality owning or operating a public sewer system or sewer improvement district providing that provides sewer service to its citizens may request a water association em. a water improvement district, or a water authority providing that provides the water service to terminate the water service to any a resident who is delinquent at least thirty (30) days in making payment to the municipality for sewer service or solid waste service. (b) The water association e i water improvement district, or water authority shall send notice to any a person who is delinquent in making payments for sewer service or solid waste service of the date the water service will be terminated and shall terminate the water service upon that 11111311111111111111 11-26-2008 09:59 KLL066 HB1048 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 date unless the balance due the municipality for sewer service has or solid waste service is paid. (c) The water association ewx, water improvement district, or water authority shall terminate the water service upon certification by the municipality that the persons jJJ 4s Is more than thirty (30) days delinquent in making payments for sewer service or solid waste service; and Has been sent notice of the termination of the water service by ho mua.ieipci.ity as required under subsection (b) of this section. (d) As used in this section "water authority" means the public body politic and governmental entity organized under the Water Authority Act § 4- 35-101 et seq. APPROVED: 2/20/2009 2 11-26-2008 09:59 KLL066 Date: Tuesday, April 05, 2011 !Mlle THE CITY OF FAYETTEVILLE, ARKANSAS 1NSAS City of Fayetteville — Purchasing Division 13 W. Mountain — Room 306 Fayetteville, AR 72701 Phone: 479.575.8220 I: aforen@ci.fayetteville.ar.us To: All interested parties From: Andrea Foren, CPPB, Purchasing Agent Notice: This addendum is hereby made a part of the bid documents to the same extent as though it were originally included therein. Bidders should indicate their receipt of same in the appropriate blank listed herein. Failure to do so may subject vendor to disqualification. Addendum should be attached to the inside c over of the bidding documents, signed, and dated. THIS INFORMATION IS HEREBY ADDED AS FURTHER CLARIFICATION AND INSIGHT TO THE CITY OF FAYETTEVILLE'S RFP. This question was asked from an interested vendor and the response to that vendor is hereby provided to all interested parties. Question: On requirement D: Develop a project plan and implement short-term web -site enhancements for citizens to be able to conduct business in various situations. Some of those requested areas of service are the payment of parking tickets online, emailed utility billing, reservations of Park amenities (tennis courts, pavilions, practice fields, etc.), HR Activities around applications for employment and open job searches, employee benefits enrollment, and other identified e -business needs for citizens. Is this asking the winning vendor to do the coding of the short-term web -site enhancements or the Project Management and implementation of the enhancements using the City's web programmers? Answer: In the Final IT Assessment report the City Council recently contracted, it was recommended, that the City might look for some Short-term solutions that might bridge a gap between, providing some Citizen E -Business applications for payment of bills, parking tickets, parking monthly passes, facility reservations, solid waste dumpster payments, etc., prior to the City o Fayetteville being ready to select and implement a new full ERP system that might handle these types of E - Business electronic transactions long term. We would like for the contracting company to research possible short-term, low cost solutions, develop a project plan of implementation, and work with various accounting staff to minimize back -end work to get business transactions entered into the City's financial statements. Some of the work might be contracted, some of the work might be handled by City of Fayetteville IT programmers, some might be handled by the company selected and awarded this RFP. All options will be considered against other priorities, and cost of work. The determination on whether to do this internally with programming staff, or with the selected contractor would be determined based on project work load, most cost effective method. As a reminder, the list of projects outlined in the scope of work within this RFP is a list of possible projects. While this is an area we wish to address, other projects may take priority over this specifically outlined item, and the selected contracting company may not work on this item at all - dependent upon on final management decisions of priorities. Acknowledge Addendum #1: Printed Name: Signature: Title: Date: Company: 1 of 1 T ecommunicatior�s Device for the Deaf TDD (479) 521.131 113 West Moulrltain .. F yettevilie, AR 72701 'ttvlle • n nnsAS Date: Wednesday, April 6, 2011 To: All interested parties From: Andrea Foren, CPPB, Purchasing Agent THE CITY OF FAYETTEVILLE, ARKANSAS City of Fayetteville — Purchasing Division 3W. Mountain — Room 306 Fayetteville, AR 72701 Phone: 479.575.8220 aforen@ci.fayetteville.ar.us Notice: This addendum is hereby made a part of the bid documents to the same extent as though it were originally included therein. Bidders should indicate their receipt of same in the appropriate blank listed herein. Failure to do so may subject vendor to disqualification. Addendum should be attached to the inside c over of the bidding documents, signed, and dated. THIS INFORMATION IS HEREBY ADDED AS FURTHER CLARIFICATION AND INSIGHT TO THE CITY OF FAYETTEVILLE'S RFP. 1.) Clarification on proposal pricing Proposers should adhere to the following requirements when providing pricing fees in all proposals: All Proposers need to list hourly rates only, based on various skill sets for each experience level of employee. Therefore, Proposers can submit different hourly rates as long as a description for the skill level for each hourly rate is described. For instance management coaching and project assessment might be a higher level individual and higher rate, than some of the other work provided. Proposers are not required to provide an estimated number of hours per individual project listed. The City is looking to contract a minimum of 40 hours and a maximum of 60 hours per month. Proposals will be evaluated for price based on the hourly rates provided. Hourly rates shall not include any travel expenses. Travel expenses will be reimbursed based on actual cost incurred by the Proposer as approved by the City. 2.) Clarification on scope of work - It is the intent of the City of Fayetteville to contract with a single entity capable of providing information technology project implementation and management services for all individual projects listed in the RFP. On site time and expected budget for this project have not been established at this time. All Proposers need to submit a minimum of three (3) references for similar work performed. 1 of I Telecomrnunicatir�r s Device for the Deaf TDD (4793 521-131 Acknowledge Addendum #2: Printed Name: Signature: Title: Date: Company: r e 6LVERNMENT Submitted By: . Bruce Cummings, CEO (512) 323-4231 direct (866) 283-6484 fax BruceCummincisGiIaCorp.com www.MuniServ.com Due: March 25, 2011 y. MSB G OVERNME: N7 5ER VI.C E5 www.MuniServ.com March 23, 2011 Andrea Foren, CPPB 6505 AIRPORT BLVD. City of Fayetteville SUITE 100 AUSTJN,TEXA5 113 W. Mountain 78752 Fayetteville, AR 72701 sao.568.7ooa 552.373.9995 Dear Ms. Foren: Fax 866.ZS3.6484 Thank you for the opportunity to submit our response to Fayetteville's (City) Request for Proposal (RFP) for Collection Services, We look forward to establishing a mutually beneficial business relationship with you and your colleagues. Gila LLC d/b/a Municipal Services Bureau (MSB) has similar contractual relationships with more than 550 government agencies in 35 states. Our nineteen years in business are a testament to the quality of our work and the above average results we achieve. We are uniquely qualified to assist in this endeavor because: + MSB has the required professional qualifications and government references, as we've been providing high quality, cost effective collection services since 1991; 0 MSB agrees to provide all requested services as outlined in the RFP, subject to the terms and conditions set forth in the RFP in a timely and efficient manner; • MSB has the required financial stability, the proven project management methodology and overall work plan to deliver quantifiable value to the City; • MSB follows stringent procedures to insure the security of al! client account information, including performing detailed background screening for all MSB employees; • MSB's highly automated, technologically advanced collection solutions allow you to send referral, payment and change information electronically; • MSB records all inbound and outbound calls, and maintains a Quality Assurance Department to monitor telephone techniques and provide ongoing coaching; and EXPERIENCE - EXECUTION • ETHICS If,r,MSB G GvCR H M£titT 5ER V]C-E, MSB is a member of the Association of Credit and Collection Professionals (ACA International) and is certified as a Professional Practices Management Systems (PPMS) agency. Less than 1% of all collection agencies have this quality certification. In addition, we are prepared to: • Be available to meet with the administration upon request for the duration of our relationship; • Ensure that every citizen will be dealt within a professional, courteous manner; Provide a full-time client services representative who will be assigned to your account and be available to address any day-to-day issues; and • Continue efforts to resolve individual accounts for as long as we have them. We believe the unique features mentioned throughout this proposal will lead you to partner with our Company. As the authorized representative, please do not hesitate to call if I can be of further service to you or your colleagues. Regards, Bruce um ' gs, Chief Executive Officer 512.323.4231 Direct 866.283.6484 Fax Bruce.Cummin s GilaCor .com EXPERIENCE ® EXECUTION m ETHICS= !'1MSB GOVERNMENT BERVI C S TABLE OF CONTENTS Tableof Contents.......................................................................................................1 EvaluationCriteria...................................................................................................... 3 ExecutiveSummary..................................................................................................... 6 Experience.................................................................................................................. 9 CollectionProcedures...............................................................................................10 CollectionWork Plan................................................................................................11 CallCenter Resources.............................................................................................11 LocatingDebtors...................................................................................................... 1.3 SkipTracing, Electronically and Manually..........................................................14 Letter Procedures and Capabilities............................................................................16 Predictive Dialer Technology.....................................................................................17 TelephoneTechniques..............................................................................................18 Litigation..................................................................................................................19 AssetSearches.......................................................................................................... 20 PaymentOptions...................................................................................................... 20 CreditBureaus.......................................................................................................... 20 OnlineAccess to Accounts........................................................................................ 21 Executing Payment Plans with Debtors...............................................................22 CollectionCampaigns........................................................................................ 22 RoutinelyRe -contacting Debtors............................................................................... 23 FollowAll Applicable Statutes................................................................................... 24 ComplaintPolicy and Procedures..............................................................................2S Competition.............................................................................................................. 27 ManagementReports............................................................................................... 29 Computer Network and Security............................................................................... 30 DataTransfer.................................................................................................... 31 Back-up Capabilities.................................................................................................32 RecordArchival........................................................................................................ 32 DisasterRecovery Plan............................................................................................. 32 DataSecurity............................................................................................................ 33 NationwideCollection Services................................................................................. 33 .`I SB GGVERNMFNT SEisVkCES Exhibit Section Exhibit A - Requested documents Exhibit B - Resumes Exhibit C - Price Proposal Exhibit D - Vendor References Exhibit E - Sample of Customized Reports Exhibit F - Press Releases Exhibit G - MSB's Client List Exhibit H - Sample Collection Letters Exhibit I - Audi€€ted Financials* *Proprietary and Confidential. ®raj MSBw C, L VERNMENT SE vtrE 5 EVALUATION CRITERIA In an effort to facilitate scoring, Gila LLC d/b/a Municipal Services Bureau (MSB) has provided a breakdown of key data included in the City of Fayetteville's (City) Request for Proposal (RFP). Each respective section expands upon the information we have provided below. in summary, MSB is: • Your Best Choice based upon the City's criteria; • An established, proven government collection provider for nineteen years; • Offering a highly competitive fee; and • A professional PPMSTr" certified collection agency, whose sole purpose into provide collection services for governmental agencies nationwide. Criteria highlights are as follows: Vendor Qualifications • MSB has unique expertise because we specialize in government collection services. • Contracts with more than 550 entities nationwide in 35 states • Collection success with other clients documented in our proposal. • Higher collection results than our competitors documented in our proposal • Experience collecting for clients with the same type and volume of accounts • State contracts with California, Colorado, Connecticut, Hawaii, Kansas, Minnesota, Nevada, New Mexico, Ohio, Oregon, Texas & Wisconsin • Provided references and letters of references from satisfied clients • Extensive client list provided in the exhibit section (Exhibit G) • Active Member o€ the Association of Credit and Collection Professionals (ACA International), maintaining the highest ethical standards; No complaints • MSB's CEO, Mr. Bruce Cummings serves on the Editorial Board for InsideARM, the leading Accounts Receivable Management Industry Information and News Source; and was featured on the cover of Collections Advisor Magazine, Attached as Exhibit F • Mr. Cummings is also a member of ACA International's "Committee of 100", whose membership is comprised of the leaders of the top 50 'lMSB' .5 V E R N M E N T S E R V E C E s collection agencies in the Nation. The committee requires membership in ACA International, and individuals must be substantially engaged in the collection industry. • Received the "Fast 50" Award from the Austin Business Journal (50 Fastest Growing Private. Companies in Central Texas) Seven Years Running • Recognized as one of the top 5000 fastest growing private companies in America. Each year Inc. Magazine compiles a list of the fastest growing private companies in the US. This year, MSB made it well within the 5000 mark as it closed in the top 3000 fastest growing companies. • Maintains an "A+" Rating from the Better Business Bureau (BBB), indicating the BBB's highest level of confidence that MSB operates in a trustworthy manner and will make all good faith efforts to resolve customer concerns • Named a BBB Accredited Business • Honored as one of the Top 7 Collection Technology firms in the nation by CollectionTechn ology.net • Named one of the top 25 "Best Places to Work in Collections," by insideARM.com and Best Companies Group • Received the Collection Technology Excellence Award in 2009 • The Company's Revenue Increased approximately 339% from 2002 to December 2009 Collection Procedures • Highly ethical collection practices: o Compliant with all collection laws and regulations o Follow a strict Code of Ethics o Member of ACA Government Services Program o No State, Federal, or International Regulation Violations o Equal Opportunity Employer • Predictive dialer technology and letter notification tool • Attempt to contact debtor 180 times at a minimum in the first 90 days • Extended evening and weekend hours • Toll free telephone number for debtors • Time tested, proven letter series • Bilingual printed notices • IVR telephone system records all inbound and outbound calls 1MS C- O VERNMENT S E R V C E E • Multiple Payment Options: Web based payment, credit/debit card payment via phone, electronic check -by -phone, Money Gram and mailed payments • Local, regional and national skip tracing services • Credit Bureau reporting to Equifax, TransUnion and Experian • Licensed to collect in Arkansas and throughout the United States • Continuing, on-the-job training and quality monitoring for all employees by management • In 2010 alone, the Training Department logged over 112,432 hours of training, which reaffirms the company's commitment to training Professional Staff • eVerify Employer • Background checks and fingerprinting for all employees • Confidentiality Agreement signed by all employees • Multilingual collection staff (>60% of employees) • Collectors trained specifically to collect utility accounts • Providing a primary, dedicated Client Services Representative as well as additional backup representatives • Certified IT personnel with outstanding credentials including: o Masters of Science, Management information Systems o Microsoft Certified System Engineer (MCSE) Computer Network • Online, real time access to accounts through the Navigate system • Ability to electronically send referral, payment and rescission information through secure FTP • Comprehensive Disaster Recovery Plan in place, including the. Agility partnered solution, providing a fully operational collection center within 48 hours of a disaster • Customized Collection Software Management Reports • Customized and ad hoc reporting available • Time tested, proven report methodology • Comprehensive data provided. detailing MSB's collection progress • Full cooperation with audit inquiries and requests G Q MSB VRNMENT S E R V 1 C E S Fee Structure • Highly competitive fee structure • Contingency fee pricing • No up -front costs • MSB offers the only START-UP GUARANTEE in the industry - We will rebate 10% of our commissions earned during the first 100 days from contract execution. EXECUTIVE SUMMARY MSB was founded in 1991 specifically to provide collection services to government agencies nationwide. MSB has been providing the exact services outlined in the City's RFP for nineteen years. The company currently works with more than 550 entities nationwide. MSB is an active member of the Association of Credit and Collection Professionals (ACA International. MSB understands that the City desires a professional organization to work closely with you to establish a customized collection program that meets your individual needs. MSB is eager to put our resources to work for the City. There are three very specific reasons for our success, they are: 1) Experience- We have the government collection experience that has allowed us to learn the best techniques before, during and after the collection process. We understand how best to work your accounts. 2) Execution- We set ourselves apart by executing on account resolution. We never stop working to resolve an account and have documented collection success with our clients. 3) Ethics- We are compliant with all collection laws and regulations. We treat each debtor with courtesy and respect. MSB has proven through years of successful implementation of collection projects that we have the necessary software and hardware components and skilled, knowledgeable personnel to assure the City that we are qualified to exceed the expectations set forth in this RFP. MSB has the specific knowledge necessary to outperform other agencies. We will utilize and expand on our extensive history of providing the same services necessary for the City to maximize the recovery of delinquent utility accounts_ GOVENMENT S E R V 1 C r_ S MSB is highly automated and ableto offer our clients a flexible, innovative solution for their collection needs. We are a firm capable of and experienced in managing the type and volume of accounts proposed by the City. We successfully service hundreds of thousands of new accounts each year, including accounts from some of the largest agencies in the nation. Our customized software programs are designed specifically for the collection of government accounts. MSB tracks broken promises thereby increasing revenue and decreasing the likelihood that the account will remain outstanding. We work all accounts thoroughly regardless of age, balance amount or location of the debtor. We may have to attempt telephone contact multiple times in order to reach the debtor. Our predictive dialer technology allows us to do so in a cost-effective, non -intrusive manner. Additionally, we re -contact each debtor periodically for as long as the account is outstanding. In summary, we never give up on an account, continually searching for new address and telephone information andattempting tin to bring the account to closure. MSB is committed to maintaining the highest standards of professional conduct and business ethics. We work closely with each debtor providing bilingual staff, when necessary, to help them resolve their obligation with dignity. Our employees speak with each debtor to determine their reason for not paying and then work to overcome that objection. The philosophy behind M5B is based upon satisfying the collection needs of our clients through careful identification of desired goals. This is accomplished by developing a close working relationship with the client based upon mutual trust. Our employees take great pride in their ability to formulate creative and innovative solutions to complex problems. While our collection process is designed to obtain the highest possible rate of return in the shortest possible time frame, careful attention is paid to the sensitivity of the issues at hand. MSB has an annual audit conducted by outside, independent auditors that meets all Generally Accepted Accounting Principles (GAAP). The audit includes reviews of internal controls and other operating procedures. Current and past audited financial statements have been issued with clean opinions. MSB adheres to very strict data security standards and contracts with an independent firm to perform SAS 70 audits. MSB G O V R N M E. Iii T MSB has demonstrated through our relationships with hundreds of agencies that it is qualified to meet the operational and management objectives of the City. Moreover, we are committed to providing the most professional, cost-effective and efficient program to the City. Throughout our history, MSB has developed innovative programs that fulfill the needs and requirements of our diverse clientele. We will focus directly on the City's primary objective — delivering ethical collection services that maximize recovery on all accounts. is 4 V E R N M E N T E: R V 1 G E 5 EXPERIENCE MSB is a unique collection solution for the City because we have been providing collection services exclusively to governmental entities for nineteen years. We contract with more than 550 entities nationwide in 35 states. We have processed more than 28,776,747 accounts totaling $5,068,495,387 as of October, 2010. Liii Client Map exhibiting our client base. We work with many notable municipalities including: Albuquerque, New Mexico; Anchorage, Alaska; Austin, Texas; Cincinnati, Ohio; Jackson, Mississippi; Los Angeles, California; Philadelphia, Pennsylvania and San Antonio, Texas and counties including: Marion (Indianapolis) County, Indiana; Miami -Dade (Miami) County, Florida; Orange (Santa Ana) County, California and Wayne (Detroit) County, Michigan. We have provided a map above MSB believes that one of its strongest and best qualifications to perform collection services on behalf of the City is the company's exclusive focus on the recovery of governmental entities- we do not work with the private sector. We have state collection contracts with California, Colorado, Connecticut, Hawaii, Kansas, Minnesota, Nevada, New Mexico, Ohio, Oregon, Texas, and Wisconsin. The number of agencies focusing exclusively on debts and obligations to units of state and local government is very small. MSB provides their clients with dramatically higher collection rates because of this specialization. We have provided our complete government client list as Exhibit G of our proposal. Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services Due March 25, 2011 9 !1IMSB' G O V E R N M E N T S EFVJCIS COLLECTION PROCEDURES MSB is excited to offer the City a superior collection solution modified to meet your requirements: Our solution marries sophisticated, advanced technology with our extensive experience in providing collection programs exclusively to governmental entities. MSB has developed and implemented hundreds of collection projects, giving us the necessary tools to provide the City best -in -class collection procedures. MSB has the ability to perform the necessary functions to provide a compliant collection program that maximizes recovery including; • An existing, turnkey solution that will allow MSB to collect on behalf of the City by providing our: o Call center and trained staff; o Skip tracing procedures; o Interface procedures; o Letter notification tool; and o Software components; • Open communication in order to coordinate collection services; • A sophisticated computer hardware and software system that accepts and accommodates the necessary data on the City's accounts; • Initial and follow-up training to all employees encompassing all areas of collection activities, as well as all laws and regulations governing such activities; • Providing assurances that MSB is operating within the laws and regulations governing collector activity; and Contacting the City's debtors and requesting payment or providing appropriate instructions to their remaining options in a professional and business -like manner. By implementing the collection services offered by MSB, you can achieve the following goals: Increased Revenue - MSB generates revenue by collecting delinquent fines, fees and costs that would otherwise go uncollected. MSB has the ability to address each and every account evenly and consistently — virtually regardless of the location of the debtor, !2-.""1MSB` F. D V E R I+i M# E N T S E- R V 3 c E -9 Decreased Liability - MSB indemnifies all clients against our actions and maintains substantial errors and omissions liability insurance and bonds. We reduce the City's liability and exposure by utilizing MSB's services. Virtual Staff - MSB's resources and personnel are utilized without allocating additional City funds. It's like having additional staff working along with the City's staff. Premier Technology - The City can leverage technology by benefiting from MSB's highly automated, advanced solution. MSB has the assets in place to immediately offer the City sophisticated, state-of-the-art, reliable software and hardware resources as well as the skilled personnel necessary to meet the desired goal. Collection Work Plan MSB will make all possible attempts to locate and collect on all accounts placed with our office by the City. In addition we will work the accounts as long as they are with us. MSB will use all available resources including but not limited to: Call Center Resources • Skip tracing for new contact information • Collection letter series • Predictive dialer which enhances productivity • Agent free, interactive, background dialer for additional phone calls and maximum coverage • Outbound and inbound collection calls • Toll free telephone number • Extended evening and weekend hours totaling s4 hours: o 7 AM to 10 PM CST Monday through Thursday o 7AM to 9 PM CST Friday o 7AM to 5 PM CST Saturday • Use of collectors specifically trained to collect debt accounts • Multilingual assistance (over 60% of employees) Phase 1: Initial 60 Days !1IMSB GOVERNMENT 5 E R V ICE 5 Once the account is placed with MSB, it will be loaded onto our CRS collection system. During this phase of the collection process, we attempt contact on accounts, at a minimum, 120 times. a An initial collection letter, approved by the City, will be sent on all files outlining all fines and monies owed. • The collection letter will provide a toll free telephone number, detailed description of the obligation and how to pay. • All accounts with potential contact numbers will be loaded into our Interaction Intelligence Inc. v2.3 (ININ) predictive auto dialer and called on a regular basis until contact is made for payment. Attempts to contact the debtor will occur every three days at a minimum. o The dialer allows MSB to build call campaigns based on key account factors (i.e. Fayetteville demographics, regional collection statistics and specific account types and balance ranges) to allow for best potential contacts. o MSB will provide general account information to the City's debtors, note any contact information changes and determine debtor indigence. • Any account that does not have a potential contact number, found to have a bad phone number, or marked with mail return will run through our batch skip process. o Batch skipping is done using 1000's of national data bases to help locate new contact information for the debtor. o New addresses, home, work, and cell phone numbers may be returned to our collection system and special call campaigns will run in an attempt to contact the debtor. All new potential contact information will remain in our CRS system and contact attempts via mail and phone calls will continue. The City will have real time, online access to their accounts through the Navigate System to review collector comments, collection activities and updated contact information. Phase II: Days 61-240 • if deemed necessary to improve collections, MSB will perform smart scoring on the City's accounts. This will give us specific information on the account and allow us to assess the highest probability of collection. �P 1 G O V E R N M E N'r SEPVFCES • All of the City's accounts that remain outstanding will receive two more collection notices during this time period. This is a progressive letter series in which each letter will carry stronger language. • Collection efforts on our predictive dialer, interactive dialer, and manual calls will continue on all accounts that have good contact numbers. • Skip trace efforts on accounts without contact information will continue. • Manual skip efforts will take place as needed in an attempt to find new contact information on any account that does not have a telephone contact or has a mail return flag. • Skip agents will use all available resources via Accurint, Internet and cross reference data bases in attempt to locate the debtor. Phase Ill: Day 241 — End of Contract • Periodic additional collection notices will be mailed as needed. o Special mailing campaigns will be created to increase payments. Continued collection calls will be made on all accounts with good contact numbers. Skip tracing continues. Once new contact information is found, calls will begin again. LOCATING DEBTORS Please read below for a detailed description of our address management and skip tracing procedures. Address Management Services Our integrated systems provide us the ability to pre -scrub debtor name and address data, enhance address information via Zip+4 appends, USPS FASTforward System Change of Address (COA) lookups, as well as National Change of Address (NCOA) lookups. This is done on each account submitted to MSB. MSB's Address Management process is part of our family of products, all of which share comprehensive operational reports and statistics. These include costing reports tailored to debtor requirements and extremely fast processing turnaround times. Key benefits of the Address Management process are: • Automatically replaces address on file with the forwarding address, prior to mailing, resulting in: !o2%" MSB G T] V E R N M E N T S E R V [«' E 5 o Faster delivery and fewer mail returns, accelerating recoveries o Updated address upon which to base automated skip tracing look -ups • Name and address standardization reduces mail returns due to data quality errors • Enhancement of the address "last line" via spelling corrections, USPS City mapping, and Zip+4 appends for LISPS CASS certification • COA lookups on all records via USPS FASTforward's 12 -plus month database • NCOA lookups on all FASTforward "no -hits," extending the Change of Address lookup to 3+ years identification of "Known Bad Addresses," with ability to provide automated services on these debtors. Skip Tracing, Electronically and Manually It is anticipated that many accounts submitted will require extensive skip tracing efforts. Skip tracing is an industry term describing the various processes used to attempt to locate a person whose current address or telephone number is unknown. Without a successful skip tracing program, collection results are significantly lower. After all, we cannot collect from someone we cannot contact. Once it is determined that either the phone number or address is incorrect, we begin skip tracing procedures. Skip tracing is conducted on a local, regional and national basis. The schedule is ongoing on a monthly, quarterly, and annual basis as long as we have the account. Efforts include: 1) Data Providers: MS8 has the ability to utilize the following vendors who supply NCOA programs as well as our own database of mail return information. Online access to these providers is linked to our internal intrashare website for collector's convenience when they are skip tracing. MSB has access to billions of data sources through the following: • Accurint (LEXIS NEXIS) • Acxiom ® Choose Point • DirectoryNet • Dolan Ux"" GEVERNMEN T S E c V I G E S • FastData • MasterFiles • RiskWise • Verifacts 2) Additional skip tracing resources may include the following: • Multiple State and National Directory References • Address Correction Deposit on file with the Postmaster • Credit Bureaus • Utility Records • Driver's License Database 3) Cross Referencing of City's Accounts Against Our Proprietary Database All new accounts submitted to MSB are skipped immediately before collectors begin working the accounts to ensure the most recent and accurate data is available at the time contact is attempted. The accounts are continually re -skipped on a monthly, quarterly, and annual schedule in an effort to maintain the most current contact information in case they move or relocate over that time. If a debtor is contacted on one account, the collectors will do an extensive system search to make sure they locate any additional debts owed. Each account found is updated with the latest information obtained. Batch Skip Tracing Services MSB's batch skip tracing process can effectively skip millions of accounts at a time. The process is developed and engineered to provide the most up to date information for debtors who are difficult to locate. Regardless of the age of the account or the balance owed, every account referred to MSB without valid contact information will go through the same skip process. Batch skipping enables us to expedite the time it takes to update contact details. Features include: • Electronic Directory Assistance (FDA) • Phone and SSN Append • Phone Dedupe (If a number is marked as bad, it is not returned as a good one, nor is it kept in the search.) • Best Address • Best Address Dedupe (If an address is bad, it is not returned as good and it is removed from the search.) 9-?"MSB" GVENMT S E P V 7 C C 5 • Credit Header with Credit Bureau (Results in more right party contacts rates, higher levels of verification and fraud detection.) • Full Header MSB accesses 6.8 billion records from over 30 sources to locate correct contact information including: • Bankruptcy Filings • Vehicle Registrations • Voter Registrations • Driver's License Numbers • Utility Information • Phone Records MSB employs a waterfall process for batch skip tracing including: Applying multi levels of skip processing to improve overall Right Party Contact (RPC) results Waterfall effect utilizing up to 3 skip batch vendors ranked by best Right Party Contact percent Manual skip tracing for remaining submissions with unattainable contact information via batch processing will be available Tracking and reporting to be designed for ongoing analysis LETTER PROCEDURES AND CAPABILITIES The initial notice is mailed within 72 hours of the account being transferred to the collection department. Our written contacts are intentionally designed to be in letter format and may b.e customized to meet specific circumstances. MSB may utilize bilingual verbiage in the City's letters to ensure all debtors can make contact to initiate payment. Each account the City refers to MSB is scheduled a letter series once it is uploaded into MSB's system. If there is a failure to respond to the first notice, a second notice is automatically generated. This process is repeated. If a payment is posted in full or the account is canceled or closed for any reason, the letters automatically cease. If a debtor has multiple accounts and payment in full is received on only one account, the letter series is modified and a new letter series, appropriate to the situation is scheduled. If i1MSB' Cp Q V E R h M- . N T E R V[ C F. S the City places the account on hold for any reason, the letter series is held until MSB is informed to continue collection activity. MSB can customize an individual letter series to meet the City's needs. Our letters are time tested and have proven their effectiveness in communicating with debtors to resolve accounts while complying with all federal and state collection laws. The City is able to approve all letters and their verbiage during the implementation phase. Each letter contains contact information in both English and Spanish, a toll -free telephone number and the web address where online payments may be made. MSB's letter notification tool can alter the language of letters to adjust to any future needs of the City. All letters will comply with FDCPA regulations. Predictive Dialer Technology The Interactive Intelligence Inc. (ININ) is a system that automates the dialing process within a call center environment. The system dials telephone numbers downloaded from MSB's database and detects an answered call. The system filters out calls with no answer, busy signals, and disconnected numbers, and passes only answered calls to the collector. The collector may also leave messages. When an individual is reached, the debtor's detailed account information appears on the monitor at the collector's workstation. The collector then updates the database with verified information such as new telephone numbers, place of employment, etc. Depending on the experience of the employee, the Dialer allows a collector to make approximately 200 contacts a day, amounting to a sevenfold increase in debtor contacts compared to manual calls. When the Dialer reaches a disconnected number, the account is passed to the skip tracing queue. Once valid information is found, the account is put back into circulation. A variety of strategies are in place to deal with each circumstance. For example, when the Dialer receives a busy signal, the system can be programmed to re -dial that number every 15 minutes thereafter until the line is connected. Also, if the call is not answered, the Dialer might continue to call every 60 minutes until someone answers. A dynamic advantage of this system is the inbound/outbound feature. The Dialer keeps track of the number of collectors on the dialer system and the number of incoming calls. The Dialer equally distributes the incoming and outbound calls, leaving no unanswered calls. Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services r u VA v9 `° lMSB GOVERN M E N T S E. V 7. t E MSB realizes the importance of immediately working accounts while the information (phone number, address, etc.) is still valid; therefore, we stress quick activity. However, MSB also understands that variousl circumstances prevent one from paying an obligation immediately. In many instances, changes in personal matters enable the individual to pay at a later date. The Dialer generates individual reports pertaining to the performance of each collector. The Collection Manager evaluates each collector by the speed and thoroughness of their work (based on experience). The Dialer generates statistical information in the following areas; • Time the collector spent on the Dialer • Productivity of time spent on the Dialer o Number of messages left • Messages left with a person • Wrong numbers called by the collector • Accounts updated with new location information • Promises and refusals to pay • Immediate payment made with initial contact via Credit Cards or Check by Phone • Transferred calls from other collectors • Supervisor reviews because of dispute Telephone Techniques Just as important as achieving contact with the debtor are the telephone techniques used in attempting to collect the account. Many debtors have multiple bills and multiple agencies contacting them for payment. MSG's goal is to be the collector who the debtor decides to pay and the promise the debtor honors. MSB emphasizes being polite, courteous and professional to all debtors at all times. The nature of the debtor has changed over the years. Debtors often are better educated and more sophisticated than in the past. They expect to be treated as individuals with unique circumstances and needs. Many appreciate being listened to and communicated with in an understanding way. MSB develops our collectors to be effective listeners and communicators. This results in two positives. First, it makes the MSB collector the collector the debtor Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services Due March 25, 2011 18 U,%,",MSB­ OVLRNMENI SERVICES most wants to pay. Second, it significantly increases the likelihood of promises kept by the debtor. The MSB short-list of what makes a good telephone collector includes: o Treating the debtor like a customer, with a customer service attitude. Suggesting ways for the debtor to overcome problems for payment so that the collector creates the feeling that they are on the debtor's team. Being a good listener to evaluate the debtor's willingness and ability to pay. Perfecting the negotiating process and paraphrasing what the debtor is saying so that a mutually acceptable solution is reached. • Being assertive, not aggressive. Our telephone calls are designed to help the debtor voluntarily resolve their obligation. We are here to let the debtor know that there is an opportunity for them to resolve the matter voluntarily. Multilingual assistance is provided to all debtors. Litigation If MSB's collection activities have not yielded payment and MSB, through its skip tracing capabilities, is able to identify assets owned by a defendant, MSB will recommend initiating litigation to recover the monies owed. If a case balance is less than $5,000 (depending on the jurisdiction), MSB will recommend filing suit in small claims court, as small claims court typically provides an efficient, cost-effective forum for litigating small disputes. Otherwise, MSB will recommend pursuing litigation in the court of competent jurisdiction that provides the most efficient docket system. Where available, MSB is also able to facilitate the filing of wage garnishments, bank liens and writs of attachment. MSB's General Counsel, A. Lee Rigby, coordinates MSB's Litigation Program and oversees each step in moving cases through the litigation process. Mr. Rigby works with MSB's clients to evaluate and select those cases which might be viable candidates for litigation. MSB will not initiate any court proceeding without specific, written authorization from the client and until a Litigation Plan has been agreed upon. After a case is selected for litigation, a formal, written demand letter from an attorney will first be sent to the defendant. In addition, follow up phone calls from an attorney may be placed before a lawsuit is initiated (as litigation should always be the last resort). dr t{ � G A V E' k.. NF E N T S E T� V I C' E S Mr. Rigby also manages communications between MSB's clients and local attorneys working on MSG's behalf in the client's jurisdiction. MSB partners with select law firms and attorneys from The National List of Attorneys to provide legal services across the country. The National List of Attorneys provides a $3,500,000 insurance bond to provide security. Mr. Rigby and MSB coordinate all of these activities on the client's behalf. Asset Searches MSB utilizes national databases that are successful in providing asset searches and locating both assets and liabilities. MSB may utilize the following databases to identify assets: • Secretary of State • Tax Appraisal Districts • State Comptroller • National Secretary of State • Nationwide Property Tax Information • Nationwide Vital Record Information Payrnent Options MSB offers numerous options for debtors to satisfy their obligation to the City. In our experience, when we accept payments directly for our clients; we achieve a higher collection rate. Debtors may choose from the following methods of payment: • All major Credit Cards • Debit Cards • Online Payments, 24X7 • Electronic Check Over the Phone (Vcheck) • Money Gram • Cashier's Check • Certified Check • Personal Check mailed via USPS Credit Bureaus Upon request, MSB will submit accounts to a credit bureau. All correspondence with debtors may contain this language. MSB actively reports to the following major credit bureaus: • TransUnion G O V E R N M E N T S E V C E S • Experian • Equifax Online Access to Accounts The City will have the ability to access accounts online, in real time, 24X7 through the Navigate System. A login name and password will be issued to allow the City's employees to enter the secure site to review information in real-time. Accounts may be reviewed by using several different fields such as name, account number, address, social security number, etc. You can also view all Action Codes, Result Codes, Status Codes and Memo Codes depending on the criteria you provide. This technology allows the City to quickly find all information regarding a particular account including amount due, amount paid, collectors' notes, updated address information, etc. The Navigate System will also allow the City the ability to generate reports. The reports are created in real time quickly and easily. The City will be able to access the dollar amount submitted, dollar amount collected and recalled, number of accounts paid in full, average age of accounts, our commission amount and numerous other account details for debtors. Executing Payment Plans with Debtors The initial recommendation to the debtor will always be to resolve their obligation by payment in full. In the event a debtor has multiple accounts and indicates that they cannot pay in full, an effort will be made to have them pay the first account in full, then the second and so on. People who indicate they are indigent have the account referred back to the City. MSB never compromises the amount due without written authorization from you. Our collection software automatically flags individuals who have broken payment commitments within three working days. These accounts are noted with a special status code, indicating a broken promise to pay by the debtor. From there, they are placed into a special dialer campaign, designed specifically to call and collect on accounts where promises to pay were broken. MSB is able to provide payment updates to the City electronically. !,,, 1 G 1 V E R N M ENT SERVICE MSB knows that the City will rely on our efforts to set budgets and the revenue we generate. In the event of a shortfall MSB will work with the City to provide customized collection campaigns. Some of the campaigns we currently run are: Tax Refunds During "tax season", January - April, MSB makes additional contacts to all debtors in the system. MSB has found that many debtors have disposable income during this time frame due to tax returns. This campaign will help the City see increased returns. In order to maximize this time of year when debtors may have their only `additional income', MSB sends specific tax letter mailings in addition to the general collection letter series. Our clients see as much as a 55% increase in their revenue collections. MSB's 2009 Tax Season efforts included: 1l 248,527 Letters mailed i] 1,016,472 Outbound calls 0 7,413 Inbound calls received 1-3 mon 7-12 mon 25+ mon !2-,MSB" IDVRNMENT EVCE Routinely Re -contacting Debtors Re -contacting debtors as long as the account is outstanding yields results. This assures the City that your accounts are continuously being worked. We never stop working an account because a person's financial situation is very fluid and usually changes for the better as they mature. The collection rate increases dramatically over time as you continue to collect on older cases. Total Accounts and Average Days to Pay 1,566 1,528 Count Average Days to Pay The graph above demonstrates our ability to collect on "aged" accounts. The purple bars are the number of accounts paid in that timeframe and the orange bars are the average days to pay. For example, 1,566 accounts that had been with MSB for 25+ months (although their actual age is over four years old) were paid.. You can compare this with the 1,100 accounts paid that had been with MSB for 4-6 months. In summary, the majority of accounts paid (23%) are in the oldest age category. This is statistical proof that we have success with aged accounts. Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services Due March 25, 2011 23 3 ow All Applicable Statutes MSB has a reputation of performing ethical collection services while maintaining stringent compliance with all legal practices and contract provisions. This includes the following practices: • Member of The Association of Credit and Collection Professionals (ACA International) • Adhere to ACA International's Strict Code of Ethics • Full compliance with FDCPA • Collector's Pledge Signed by All Staff • Compliance with All Federal, State and Local Laws • Fully Insured MSB is in compliance with all federal, state and local laws, including the FDCPA, and will ensure that it maintains this status throughout the contract period. Furthermore, MSB shall conduct work done under this contract in strict compliance with all applicable laws related to the collection of government receivables in the State of Arkansas and is licensed according to industry standards. As with all of our clients, we will remain cognizant of the evolving changes of collection laws and will adjust our practices as necessary to remain compliant throughout the term of the contract. Our training program educates MSB's staff on current legal guidelines, and our management team provides on -going notification of new laws and regulations in order to maintain compliance. More than simply complying with all federal, state, and local laws where we do business, we proactively maintain a compliance program that promotes prevention, detection and resolution of any instances of non-compliance. The collection industry is a sensitive business, in which we deal with financial issues that affect our clients, their debtors, our corporate reputation and ourselves. We take very seriously the fact that our clients depend on us to assist them with the services we have contractually agreed upon in accordance with all laws and the highest standards of ethics. Ethics Hotline MSB is committed to the highest possible standards of ethical, moral and legal business conduct. In line with this commitment and MSB's commitment to open communication, Lighthouse Services, Inc. (LSI) has been contracted to provide MSB 'lMSB' GOVERNMENT SEFVCES Employees with an anonymous ethics hotline and website. LSI provides an avenue for employees to raise concerns and reassurance that they will be protected from reprisals or victimization for reporting ethical violations in good faith. Complaint Policy and Procedures Complaints will be handled immediately. The complaint will be referred to Chris Dettbarn, Director of Collection Services, and dealt with promptly. MSB will respond in writing to any individual that requests such a response, when a dispute has not been resolved by telephone. If a debtor states that the account was previously paid, etc., we ask the individual to provide the necessary documentation to support their claim. Upon receipt of documentation, the account is placed on "hold" and forwarded to the City or dealt with as per previously agreed -upon instructions. Upon clarification, the debtor is notified that their claim was accepted, of a new balance or the fact that their claim was denied. In order to resolve a dispute as quickly as possible MSB records 100% of all outbound and inbound phone calls. In addition, we store the data for 2 years to ensure that we have adequate access to historical data in the event of a problem. Most agencies do not record calls because of the potential liability let alone store the data for multiple years. MSB so trusts in its people and processes that we are confident in letting the City have open access to all call data. Any complaint resulting from a phone conversation with our collectors can be forwarded to the City for review. The recordings are also used for training and, if necessary, disciplinary purposes. Our Quality Control department regularly monitors all calls to ensure our collectors are maintaining compliance with all state, federal and local laws as well as all client regulations. MSB Standard Complaint Handling Procedures 0 Payment made to client o Verify in Collections Resource System (CR5) of any payments made o If no payment made, contact client for balance due o Send debtor letter stating balance FDCPA o Obtain validation of debt or invoice from client o Give letter to compliance officer + Attorney Accounts o Give letter to compliance officer o inform client Proposal for The City of Fayetteville, Arkansas RIP Number 11-03 for Collection Services 11MSB" €GO V E'RNMENT 5E.RV]GE5 • Dispute Balances o Search CRS for proper data (account is active, name, SSN, DOB) o Contact client about the dispute o Send letter to debtor to contact client Escalated Complaint Resolution Policy In the rare event that MSB receives written notification of debtor dispute via the Better Business Bureau or a similar consumer advocacy organization, any law office, any state government agency, or the Federal Trade Commission, the following procedure is implemented: • The complaint is forwarded to the Compliance Officer for review. Based upon the review, the Compliance Officer forwards the complaint to the ,pertinent department for a full investigation. In the event the dispute is from the Federal Trade Commission, the complaint is forwarded to the Director of Operations for investigation. m There is a thorough investigation conducted, based upon the nature of the complaint. For example, if a debtor claims that they received a call after 9pm and in violation of FDCPA, all call records are retrieved from the dialer for review to ensure that no calls were placed outside of the allowed time frames. If a debtor claims they are being harassed, all recordings of all calls to that debtor are retrieved and reviewed by senior management. All calls are recorded and kept for a period of 2 years. Results of the investigation are forwarded to the Compliance Officer who will then render a determination as to whether MSB is or is not in violation of FDCPA, FCRA, and other laws. Appropriate actions taken are: o If MSB is in compliance with all applicable laws, the organization/agency which forwarded the complaint is notified that MSB has reviewed the account and determined that it acted in accord with regulations. In the account of government agencies, all requested evidentiary support is provided. The account is closed internally. o If MSB is not in compliance with all applicable laws, the organization/ agency which forwarded the complaint is notified as such. In the account of government agencies, all requested evidentiary support is provided. MSB keeps the account open until the forwarding !2,,-*"MSB" Gtr VE NMENT SERVIGEE organization or agency closes the account at a later point, regardless of their determination at that time. • MSB is aware that complaints may not arise for weeks, months, or up to a year from the date of occurrence. As such, call recordings, dialer records, transaction paperwork, and all records as they relate to collection operations are retained for a period of no less than two years. Financial records are •retained for time periods specified by the Sarbanes-Oxley Act and SAS 7O audit requirements. COMPETITION As testimony to MSB's superior collection capabilities, MSB conducted a client review of our contract to collect delinquent accounts for Miami -Dade County, Florida and the Municipality of Anchorage, Alaska. In a head to head comparison against the prominent competitors in both jurisdictions, we significantly outperformed our competition as evidenced in the graphs below: Miami -Dade County, Florida %of Months MSB Out -Collected Competitors % of Months MSB Out -Collected p 20% �I Ii II 8% ill ®ldSS W CairoelHwA ® fo:npelJw B 72% Competitors MSB outperformed both competitors by collecting higher balances the majority of the collection months, as evidenced by the chart to the left. U.," GOVERNMENTSEVCES Revenue Collected MSB continues to excel in collecting revenue ahead of our competitors. These two bar graphs show the collection performance of the three firms performing collections from January 2008 to February 2010. Municipality of Anchorage, Alaska Revenue Collected - MSB has consistently collected more revenue than our competitor. The graph to the right shows the collection performance of the two firms performing collections from 2006 to 2008. In 2009, MSB was chosen as the sole collection provider. Miami -Dade County, Florida: Traffic Collections Jan 2008 - Feb 2010 � iiaeve MSB Competitor• A Competitor $ of Months MSB Out -collected Corn Detitors MSB significantly outperformed our competitor by collecting higher balances the majority of the collection months, as evidenced by the chart to the left. $5,800,004 $5,600,000 $5,400,000 $5,200,000 $5,040,004 $4,800,000 MSB Competitor GOVERNMENTIMSB' SERVICES MANAGEMENT REPORTS MSB acknowledges the need for a cooperative effort and open communication in regards to reporting collection data to the City. We will provide customized monthly reports to the City. Please read below for a description of our reporting procedures: During the Implementation Phase, the following items will be identified for discovery between the City and the MSB Implementation Team: • Establish Detailed Requirements for all Reports: o Develop. Deliver and Approve • Established the City'.s Preferred Method of Report Delivery: o Mail, Email, FTP, SFTP • Establish the City's Preferred Format for Reports: o Excel, PDF, CSV, Flat File, Crystal, Other • Establish the City's Delivery Schedule for each Report Required: o Daily, Weekly, Monthly, Quarterly, Annually • Determine the City's Reporting Distribution List Our client management team is responsible for generating and specializing reports to suit your needs. The timeframe can be altered to meet your needs as our client, although most have a pre -determined schedule depending on the type of report. MSS has the ability to create custom and ad -hoc reports as needed by the City. All reports can be provided daily, monthly, annually and/or contract to date. MSB has always had an "open door" policy for our clients. All of our reports and collection data can be inspected, including audits, at any time by the appropriate client representatives. All reports, including invoices, may be sent electronically. MSB is committed to fully cooperate with all audit inquiries and confirmation requests. For a full list and copies of Sample Reports, please see Exhibit E. Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services Due March 25, 2011 29 U,%"' Ea` O V E R N M E N T SERVICES COMPUTER NETWORK AND SECURITY Information Technology (IT) has become critical to the operations and overall success of the collection process. Having realized the benefits of IT, MSB continues to invest heavily in the latest technology, qualified personnel, and the training necessary to support the infrastructure. MSB's systems are all designed and engineered for high availability, accuracy, security and future growth. Recently, MSB has invested over $2 Million in iT related resources including computer/network equipment, software and telephony. MSG's IT department recognizes the complex data transfer requirements and offers solutions based on the most efficient manner for our clients. We will work closely with your staff to implement our services and have technical support available every step of the way. Please read below for a description of our IT resources and security measures. IT Staff MSB employs highly skilled IT professionals and managers with proven industry experience. This talented IT team stays abreast of new technology by both company sponsored training events and a strong personal desire to keep up with the industry. Collection Software MSB selected CR Software as our enterprise -wide Collections Resource System (CRS). CR5 automates all the fundamental functions of our collection operation, from new business data entry through month end processing, With CRS, we have streamlined our collection operations by taking advantage of its automatic broken promise processing, payment processing, cash posting, collector productivity management, client status reporting and client analysis reporting. CRS maintains a record of all account activity, including placement data, payment history and collection attempts. In addition, the system is a real-time, online system; therefore, accounts are immediately updated when a collector performs any action on an account. This information is then available for our client to review. Network In 2007, MSB upgraded the entire network infrastructure from start to finish with Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services Due March 25, 2011 30 . t lMSB' G DVENMENT r.^" EVLE S new state of the art Cisco equipment as well as new network cabling. MSB has partnered with Time Warner Telecom and Global Crossing for internet connectivity and has fully redundant Tis should an outage occur. Additionally, all our network hardware support contracts are renewed on an annual basis for each networking device, thus ensuring 99.98% availability. To ensure the highest standard of security, MSB has partnered with an independent network firm to monitor and audit our network connectivity from end -to -end. This joint effort helps prevent the following: • Denial -of -Service Attacks • Unauthorized Access • Confidentiality Breaches • Data Diddling • Data Destruction Servers MSB has invested heavily in new dual and quad core servers from Dell and Hewlett Packard. All mission critical software resides on both primary and backup servers using storage arrays in RAID 1, 5 and/or 10 configurations. Additionally, all servers carry a four hour response time contract with our hardware vendor. Storage MSB has invested in a Storage Area Network both onsite and in a disaster recovery location. This SAN infrastructure enables MSB to expand storage space quickly and easily on demand, reduce backup/ restore time, and vastly decrease downtime in a disaster scenario. Data Transfer MSS will work with the City to establish an acceptable method of transmission of data files. As with many of our clients, we will set-up an FTP site with a user name and password, per client, for authentication. The transmission of the file from the client is automated and is sent to us on a daily basis utilizing a script written by the client. MSB has written a script to retrieve the file from the FTP site where the file is date and time stamped and then moved to the client's directory on our secured network. All files transmitted through the FTP site are virus scanned to ensure the safety of our network. MSB offers various encryption options for file transfer to ensure security such as SFTP and PGP which are among the most popular choices. Other protocols / methods can also be made available if necessary. Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services Due March 25, 2011 31 . s MSB n L VEMENT 5 E e2 V 1 L E S MSB currently accepts files from, and produces files for, hundreds of clients around the country. These files contain referral (new) account information, payment information, adjustments and rescind (recall) information, as well as general information regarding individual accounts. MSB has the knowledge and experience to successfully receive the City's data files. MSB can accept files from the City on any media (compact disc, magnetic tape, floppy disk, ftp, etc.) and in any format (comma, tab, pipe, tilde delimited, fixed length, variable fixed length, etc.). MSB also accepts manual submissions from many clients. Back-up Capabilities MSB invests heavily in the backup, storage and restore functionality of its electronic information. The entire CRS server is backed -up on a nightly basis, 7 nights a week, on tapes. A weekly backup is sent offsite to an offsite storage vault via Iron Mountain. All call recordings are maintained for a minimum of 2 years. Record Archival MSB maintains accounting records in accordance with generally accepted accounting principles. MSB utilizes the Dynamics/Great Plains accounting system which is a Microsoft based application. The system provides detailed financial management options that range from general ledger, accounts payable, and accounts receivable modules to bank reporting, cash flow management and easy reconciliation. All call recordings, dialer records, transaction paperwork and all records as they relate to collection operations are retained for a period of no less than 2 years. Financial records are retained for time periods specified by the Sarbanes-Oxley Act and SAS 70 audit requirements. Disaster Recovery Plan MSB maintains a comprehensive disaster recovery plan. Highlighted in this plan include data backups and server availability. Tape backups of all corporate data are performed on a daily basis and are shipped weekly to Iron Mountain for secure offsite data storage. Server availability is maintained by providing redundant servers for the company's most critical application. Through a 15 -member peer group of which we are a member, reciprocal recovery efforts are guaranteed in the event there is a loss due to fire or an act of God. MSB maintains an Agility partnered solution for a fully operational collection center within 48 hours of a natural disaster. A copy of this recent partnership is included as Exhibit F, along with other Proposal for The City of Fayetteville, Arkansas RFP Number 11-03 for Collection Services Due March 25, 2011 32 1MSB €3 O V E R N M E N T 5 E R V i G E S current press releases, and a detailed disaster recovery plan is available for your review upon request. Data Security MSB adheres to very strict data security standards and has received SAS 70 Type II certif➢cation. MSB will protect information from unauthorized use, disclosure or destruction through the observance of all federal and state information security and confidentiality laws. In addition to software security, MSB destroys all paper trash via a weekly pick up by a local document shredding company. All employees sign a confidentiality agreement upon hire. Employees must agree to maintain the confidentiality of Confidential Information and not to disclose, duplicate, copy, transmit or otherwise disseminate or permit such information to be used, disclosed, duplicated, copied or transmitted. NATIONWIDE COLLECTION SERVICES We will attempt collection on any account regardless of a debtor's location and are licensed or authorized to collect in all 50 states and U.S. territories. REQUEST FOR PROPOSAL: RFP 11-03, Collection Services DEADLINE: Friday, March 25, 2011 before 2:00:00 PM, local time DELIVERY LOCATION: Room 306 --113 W. Mountain, Fayetteville, AR 72701 PURCHASING AGENT: Andrea Foren, CPPB, a orenraci.fayetteville.ar us, 479.575,8220 DATE OF ISSUE AND ADVERTISEMENT: Wednesday, March 09, 2011 REQUEST FOR PROPOSAL RFP 11-03 Collection Services No late Collectionproposals with the ccented. RFP's shall be submitted in sealed envelopes labeled "RFP 11-03, Services" name and address of the bidder. All Proposals shall be submitted in accordance with the attached City of Fayetteville specifications and bid documents attached hereto: Each Proposer is required to fill in every blank and shall supply all information requested; failure to do so may be used as basis of rejection. Any bid, proposal, or statements of qualification will be rejected that violates or conflicts with state, local, or federal laws, ordinances, or policies. The undersigned hereby offers to furnish & deliver the articles or services as specified, at the prices & terms stated herein, and in strict accordance with the specifications and general conditions of bidding, all of which are made a part of this offer. This offer is not subject to withdrawal unless upon mutual written agreement by the Proposer/Bidder and City Purchasing Manager. Name of Firm: Gila. LLC d/b/a Municipal Services Bureau (Mss) Contact Person: Bruce Cummings Title: CEO E -Mail: Bruce.Cumtr�ings@Gi.laCorp.com Phone: (512)323-4231 Business Address: 45os Airport Blvd. Suite 100 City: Austin. State: Texas Signature: -- " Zip: 78752 Date: March 23, 2011 City of Fayetteville, AR RFP 11-03, Collection Services Page 1 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION G: Addendum Acknowledgement Form Please acknowledge receipt of addenda for this invitation to bid or request for proposal by signing and dating below. All addendums are hereby made a part of the bid or RFP documents to the same extent as though it were originally included therein. Proposers/Bidders should indicate their receipt of same in the appropriate blank listed herein. Failure to do so may subject vendor to disqualification. ADDENDUM NO. TURE AND PRINTED NAME DATE ACKNOWLEDGED 1 Bruce Cummings March 23, 2011 Note: Prior to submitting the response to this solicitation, it is the responsibility of the firm submitting a response to confirm if any addenda have been Issued. If such document(s) has been issued, acknowledge receipt by signature and date in the section above. Failure to do so may result in being considered non- responsive. Information regarding addenda issued is available on the City of Fayetteville website under the Purchasing Division at www.aCCBS Sfayetteville. orq by selection "Bid's, RFP's, and RFQ's" under the "Business" heading. ..,, City of Fayetteville, AR RFP 11-03, Collection Services Page 18 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION H: Debarment Certification Form - THIS FORM SHALL BE SURITTED WITH ALL PROPOSALS As an interested party on this project, you are required to provide debarment/suspension certification indicating that you are in compliance with the below Federal Executive Order. Certification can be done by completing and signing this form. Debarment: Federal Executive Order (E.O.) 12549 "Debarment and Suspension" requires that all contractors receiving individual awards, using federal funds, and all sub -recipients certify that the organization and its principals are not debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded by any Federal department or agency from doing business with the Federal Government. Your signature certifies that neither you nor your principal is presently debarred, suspended, proposed for debarment, declared ineligible,, or voluntarily excluded from participation in this transaction by any federal department or agency. Questions regarding this form should be directed to the City of Fayetteville Purchasing Division NAME: Bruce Cummings, CEO COMPANY: Gila LLC, d/b/a Municipal Services Bureau (MSB) PHYSICAL ADDRESS: 6505 Airport Blvd. Suite 1O0 Austin, Texas 78752 MAILING ADDRESS: 6505 Airport Blvd. Suite 100 Austin, Texas 78752 PHONE: (512)323-4231 FAX: (866)283-6484 EMAIL: Bruce. SIGNATURE: DATE: March 23, 2O11 NOTICE: CAUSE: Debarment by an agency pursuant to FAR 9.406-2, GPO instructions 11O.11A, or PS Publication 41, for one or more of the following causes (a) conviction of or civil judgment for fraud violation of antitrust laws, embezzlement theft, forgery, bribery, false statements, or other offenses indicating a lack of business integrity; (b) violation of the terms of a Government contract, such as a willful failure to perform in accordance with its terms or a history of failure fo perform; or (c) any other cause of a serious and compelling nature affecting responsibility. (See Code N- Debarment pursuant to FAR 9.406 2(b)(2) Drug Free Workplace Act of (988.) TREATMENT: Contractors are excluded from receiving contracts, and agencies shall not solicit offers from, award contracts to renew or otherwise extend the duration of current contracts, or consent to subcontracts with these contractors, unless the City determines that there is a compelling reason for such action. Government prime contractors, when required by the terms of their contract, shall not enter into any subcontract equal to or in excess of $25,000 with a contractor that is debarred, suspended, or proposed for debarment, unless there is a compelling reason to do so. Debarments are for a specified term as determined by the debarring agency and as indicated in the listing. City of Fayetteville, AR RFP 11-03, Collection Services Page 19 of24 City of Fayetteville RFP 11-03, Collection Services SECTION F: Authorized Negotiator Information — To Be Submitted With ALL Proposals At the discretion of the City, one or more firms may be asked for more detailed information before final ranking of the firms, which may also include oral interviews. NOTE: Each Proposer shall submit to the City a primary contact name, e-mail address, and phone number (preferably a cell phone number) where the City selection committee can call for clarification or interview via telephone. PART I: Primary Contact Information: Name of Firm: Gila LLC d/b/a Municipal Services Bureau (MSB) Name of Primary Contact: Bruce cummings Title of Primary Contact: chief Executive Officer Phone#1 (cell preferred). hone#2: E -Mail Address: Bruce.CummingsiGilacorp.com (512)323-4231 PART 2: Contact for Legally Binding Contracts: Is the primary contact (listed in Part I) able to legally bind contracts? YES NO (circle one) If no, please list contact that can legally bind a contract for the firm: Name: Title: Phone#1 (cell preferred): E -Mail Address: Date: March 23, 2011 Phone#2: City of Fayetteville, AR RFP 11-03, Collection Services Page 17 of 24 City of Fayetteville RFP 11-03, Collection Services SECTION E: Statement of Disclosure — To Be Submitted With ALL Proposals This page does not count towards page limitations set forth in this request for proposal or bid. Proposer must disclose any possible conflict of interest with the City of Fayetteville, including, but not limited to, any relationship with any City of Fayetteville employee_ Your response must disclose if a known relationship exists between any principal or employee of your firm and any City of Fayetteville employee or elected City of Fayetteville official. If, to your knowledge, no relationship exists, this should also be stated in your response. Failure to disclose such a relationship may result in cancellation of a purchase and/or contract as a result of your response. This form must be completed and returned in order for your bid/proposal to be eligible for consideration. PLEASE CHECK ONE OF THE FOLLOWING TWO OPTIONS, AS IT APPROPRIATELY APPLIES TO YOUR FIRM: X 1) NO KNOWN RELATIONSHIP EXISTS 2) RELATIONSHIP EXISTS (Please explain) PLEASE FILL OUT THE SECTION BELOW AND SUBMIT THIS FORM WITH YOUR BID OR PROPOSAL: 1.) 1, as an officer of this organization, or per the attached letter of authorization, am duly authorized to certify the information provided herein are accurate and true; and 2.) My organization shall comply with all State and Federal Equal Opportunity and Non -Discrimination requirements and conditions of employment. Bruce Cummings, CEO Prin e Signature March 23, 2011 Date City of Fayetteville, AR RFP 11-03, Collection Services Page 16 of 24 Policy Type Professional Liability Professional Liability Executive WorkersCompensation Commercial Package Policy General Liability Commercial Umbrella Crime Fidelity Commercial Auto Insurance Coverage Highlights Employees & Officers Directors & Officers Employment Practices Defense Cost Endorsement Bodily Injury, by Accident Bodily Injury by Disease Bodily Injury by Disease Business Package - Gen. Liability Property, papers, media A/R,, etc. Business Income/Extra Expense. Hired/Non-Owned Auto Umbrella Liability - supplement Client#: 84884 14GILACOR ACORau CERTIFICATE OF LIABILITY INSURANCEDATE(MMIDONYYY) 8/0712011 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(les) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsements . PRODUCER Wortham Insurance & Risk Mgt 221 West 6th St #1400 Austin, TX 78701 COiflACT NAME: PHONE 512 453-0031 512 453-0041 AIC: No Sari):_. IAL,. Nol: E-MAIL LS wpage(c wortham-austin.com 512 453-0031 INSURERS AFFORDING COVERAGE NAIL U INSURER A. Hartford Underwriters Ins Co 30104 INSURED Gila, LLC dba: Municipal Service Bureau & Glia Group 6505 Airport Boulevard, Suite 100 INSURER B: Sentinel Insurance Co Ltd 11000 INSURER C : Hartford Casualty Insurance Co 29424 : INSURERD: Austin, TX 78752 INSURER E: INSURER F COVERAGES CERTIFICATE NUMBER: PPIVIRinu NIIAARCo• THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES, LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR TYPE OF INSURANCE ! R ADD" Ue WVD POLICY NUMBER POLICIEFF Y MM1BD 'POLICYEXP YMMIDONY LIMITS A GENERAL LIABILITY 65t1UNJW45.86 310112011 0310/1201 EACH OCCURRENCE $11000000 X COMMERCIAL GENERAL LIABILITY CLAIMS -MADE [] OCCUR pqMA T ENTED PREMISS Eaaccurrence $300,000 MED EXP (Any one person) $1 ©000 PERSONAL & ADV INJURY $1,00©000 GENERAL AGGREGATE s2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP/OP AGG s2,00D,000 POLICY T'ldFr' El LOG $ B AUTOMOBILE LIABILITY { 65UUNJW4586 3/01/2011 03101/20') COMBFNED SINGLE LIMIT Ea accident 1,OOtI,OQf1 BODILY INJURY (Per Person) $ ANY AUTO ! IX AUTOS NEO AUTOSULED HIRED AUTOS X NON OWNED AUTOS BODILY INJURY (Per accident) $ PROPERTY DAMAGE (Per accident S X UMBRELLA LIARHCLAIMS-MADE OCCUR 65RHUJW1423 3101/2011 0310/1201 EACH OCCURRENCE. s4 000,000 EXCESS LIAB AGGREGATE S4 000 000 OED 1 X RETENTION $10 000 $ G WORKERS COMPENSATION AND EMPLOYERS' LIABILnY YIN) ANY PROPRIETORIPARTNERfEXECUTIVE OFFICERIMEMBER EXCLUDED? N IA A 65WEZU1313 3/01/2011 03/011201 X We 3TATU- OTH- E.L. EACH ACCIDENT _,..,....... 51 000 OOO E.L. DISEASE - EA EMPLOYEE S 1,000,000 (Mandatory in NN) it yes. describe under DESCRIPTION OF OPERATIONS below. E.L. DISEASE - POLICY LIMIT $1,000,000 DESCRIPTION OF OPERATIONS I LOCATIONS (VEHICLES (Attach ACORD 1(11, Additional Remarks Schedule, it more space Is required) General Liability, Auto Liability, and Umbrella include blanket additional insured and blanket waiver of subrogation when required by written contract. Workers Compensation includes blanket waiver of subrogation when required by written contract. Insurer cannot change or cancel coverage without the insurer first giving 30 days written notice to Certificate Holder of such change, cancellation or termination. Subject to policy terms, conditions and exclusions, Subject to policy terms, conditions and exclusions. Sample SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE IS 1nER2nin A ORfl CnPPr]RLTInM nil rir,t,tc rceers, l ACORD 25 (201©105) 'l of 1 The ACORD name and logo are registered marks of ACORD #S2144111M214323 14LJT Far"I W9 I Request for Taxpayer Give form to the tRpv. November 2005) identification Number and Certification requester. Do not bpannr„t aI uro 'wsv' I I send to the IRS, IMm'ot Apwri uo $CS' r- ni Name (as shown on your income tax retuml rn Gila Corporation Business name, If different from above o 'a Municipal Services Bureau m o ❑ Individual/ Cot oration PannershlErMntpt Check appropriate box: Sole prdlMptor P ❑ P © Olher A ----------------- from iaaakuP ❑ Withholding Address {number, street, and ttpt, or seta na.) Requester's name and address {oplionaly c 6505 Airport Blvd., Ste. 100 city, state, and ZIP code r Austin, TX 78752 mList a account number{s) here (optinnaq W Enter your TIN In the appropriate box. The TIN provided must match the name given on Lire 1 to avoid social security number backup withholding. For Individuals, this is your social security number (SSN). However, for a resident ( alien, sole proprietor, or disregarded entity. see the Part I Instructions on page 3. For other entities. it Is your employer identification number (EIN). It you do not have a number, see Now to get a 77AI on page 3. or Note. lithe account is in more than one name.: see the chart on page 4 for guidelines on whose number to enter. Under penalties of perjury, I certify that: 1. The number shown on this form Is my correct taxpayer Identification number for I am waiting for a number to be issued to mej, and 2, 1 am not subject to backup withholding because: (a) I am exempt from backup withholding, or (b) I have not been notified by the internal Revenue Service (IRS) that I am subject to backup withholding as a result of a failure to report all interest or dividends, or (c) the IRS has notified me that I am no longer subject to backup withholding, and 3. 1 am a U.S. person (including a U.S. resident alien). Certification instructions. You must cross out item 2 above if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return. For real estate transactions. item 2 does not apply. For mortgage interest paid, acquisition or abandonment of secured property, cancellation of debt, contributions to an Individual retirement arrangement (IRA), and generally, payments other than Interest and dividends, you are not required to sign the Certification. but you must provide your correct TIN. (See the instructions on page 4.) Sign 1 re of / f ��c / Q Here u.s. u.s. person Data F> % Purpose of Form a An individual who is a citizen or resident of the United A person who is required to file an Information return with the States, IRS, must obtain your correct taxpayer identification number a A partnership, corporation, company, or association (TIN to report, for example, income paid to you, real estate created or organized in the United States or under the laws transactions, mortgage interest you paid, acquisition or of the United States, or abandonment of secured property, cancellation of debt, or o Any estate (other than a foreign estate) or trust. See contributions you made to an IRA. Regulations sections 301.7701-6(a) and 7(a) for additional U.S. person. Use Form W-9 only if you are a U.S. person information. (including a resident alien), to provide your correct TIN to the Special rules for partnerships. Partnerships that conduct a person requesting it (the requester) and, when applicable, to: trade or business in the United States are generally required 1. Certify that the TIN you are giving is correct (or you are to pay a withholding tax on any foreign partners' share of waiting for a number to be issued). income from such business. Further, in certain cases where a 2. Certify that you are not subject to backup withholding, or Form W-9 has not been received, a partnership is required to 3. Claim from backup withholding If you are a U.S. exempt exemption payp presume that a partner is a foreign person, and pay the withholding lax. Therefore, if you are a U.S. person that Is a In 3 above, if applicable,you are also certifying that as a Pp Y 9 partner in a partnership conducting a trade or business in the United States, provide Form W-9 to the partnership to U.S. person. your allocable share of any partnership income from a U.S. trade or business is not subject to the establish your U.S. status and avoid withholding on your withholding tax on foreign partners' share of effectively share of partnership Income. connected income, The person who gives Form W-9 to the partnership for Not r Note. If a requester gives you a form other than Form W-9 to purposes of establishing its U.S. status and avoiding withholding on its allocable share of net income from the request your TIN, mustuse there other er's form. it is request ly TIN,simiyour to this Farm W 8. suStates partnership conducting a trade or business in the United is in the following cases: For federal tax purposes, you are considered a person if you a The U.S. owner of a disregarded entity and not the entity, are: Cal. No. 10231X Form W-9 (Rev. 11-2005) Bruce Cunmirgs Chat a culive 0`9cer Le = R gby Geacrai Cce r ..I and nenior VP of Compl ana_ & Human Resources Glana IaTseez VP. Nanzan:Resburces and Train ng and 4uafily Sr. Strategy Manager Dom Eck F, Rrecer Chra, tn.oirratam n Ortvicer! SantorVP, MMSB h4icirca l F, Ep;Eem Chef Plnanctat 0ti cer Barbara F ug?a• Cactrallar anrj VP- Finn ce & Accauntrsq.;. Chris C)e#tbarn oirsctor,;h�SB Operations Sal Martinez TNegan Allen Sen€Or Nlartager, Manager- Client Collections Services Jaces aaPmer V,c PIeaid nr1 ll New Suttees Elva Seckrna'-y V, ernes aer� leaf IS Dispute Resolution Marcella Collection Account MI 13 Support a; Data Entry sfness Ansts,alyillncigerra Supetvlsflrs Executives . Client Account Department Report Developer Represenctatkms , Javier Garcia I Cofiectors Dialer Analyst !i1MSB. C.v C7VERNMt:NT SERVICES Resumes Key personnel who will be directly involved in the City's collection project include: Bruce Cummings, Chief Executive Officer and Board Member Bruce brings extensive domestic and international experience in startup, development, management and sales for both public and private businesses. He specializes in the high technology, manufacturing and public service fields, and brings more than 25 years of experience in growth and turnaround ventures. Bruce is responsible for the business development cycle of MSB clients. He is an integral part of the implementation process by ensuring client expectations and requirements are conveyed to the Operations Department. He continues to monitor the collection project for total customer satisfaction. Bruce serves as President-elect to the Texas chapter of ACA International's Board of Directors. He serves on the Editorial Board for InsideARM, the leading Accounts Receivable Management Industry Information and News Source. Bruce is a member of ACA International's "Committee of 100", whose membership is comprised of the leaders of the top 50 collection agencies in the Nation. The committee requires membership in ACA International, and individuals must be substantially engaged in the collection industry. Michael E. Epstein, Chief Financial Officer Mike previously managed multi -million dollar transactions with Fortune 1000 companies including Chase, Wells Fargo, Met Life and Teachers, as well as structuring an IPO with A.G. He is responsible for overseeing the. Finance Department. His responsibilities include budgeting, forecasting and cash management for the company and serves as the compliance officer for our clients. Mike completes a minimum of forty hours of continuing education annually, including audit, tax, consulting and human resources classes. Domenick F. Riccio, Chief Information Officer and Senior Vice President Dom has nineteen years experience in the Information Technology sector and fifteen in the call center field. He is responsible for overseeing the IT Department and ensuring all telephony and computer systems are functioning properly to their full capacity. He ensures the necessary resources are in place to meet the technical needs of our clients. Dom is responsible for the operation of our Municipal Services Bureau (MSB) business unit. A. Lee Rigby, General Counsel and Senior Vice President of Compliance and Human Resources Prior to joining Gila LLC, Lee spent eight years in private practice with Smith Robertson, LLP in Austin, Texas and Fulbright & Jaworski, LLP in Dallas, Texas. Lee's practice focused on commercial litigation matters involving real property and partnership disputes, derivative partnership litigation, complex litigation involving trade EXPERIENCE ® EXECUTION . ETHICS" a MSB OVE RNeM r —N -T -Si k. iqV i C E 9 secrets and non -competition agreements, and representation of commercial landlords and tenants in lease disputes and litigation. Lee has tried cases in both state and federal courts and has handled litigation for clients in Texas, California, Arizona, Kansas and Illinois. Lee received his juris doctor degree from Baylor University School of Law and a Bachelor of Arts degree from Clemson University. Lee is active in the Austin community as a member of the Austin Young Men's Business League Board of Directors and as a member of the Seton Forum and the Real Estate Council of Austin. Jason Schmer, Vice President, New Services Jason graduated with a BS in Mechanical Engineering from the University of Texas. After a career change from semiconductors to software development, he spent seven years designing and developing commercial applications for different industries as well as managed several large scale integration projects. After serving as Global IT Director and Operations Manager for two reverse logistics companies, he began working for the Gila. Jason has worked with a number of continual improvement methodologies over 15 years and holds a Six Sigma green belt. Jason is also an active member of the international Bridge. Tunnel and Turnpike Association and graduated from their Executive Leadership Academy in 2010. Elye Sackmary, Vice President, Operations Elye has nine years of call center management experience and five years of operations and financial management experience. Elye has a Bachelor's of Applied Arts and Sciences from Texas State University, has graduated with Great Distinction from BAI Graduate School of Retail Banking, and has been recognized as a Certified Public Manager by Texas Governor Rick Perry. He is currently pursuing his MBA also from Texas State University. His responsibilities include overseeing all payment and lockbox processing for the company, toll road image review, customer dispute resolution, new account submissions and data entry, and credit union collection operations. Elye is active in the community as a professional member and sponsor for the Future Business Leaders of America and is also a member of the American Society for Public Administration and the American Academy of Certified Public Managers. Chris Dettbarn, Director of Collection Services Chris joined MSB in January, 2009 with over 16 years of experience in collection and financial services. Chris's last position was with NCO Financial Services in the Philippines where, as Assistant VP and Director of Collections, he oversaw and managed over 800 collection agents across multiple lines of business. Prior to working at NCO, Chris worked for Dell Financial Services in Austin in several roles including Senior Audit Manager and Recovery Manager. Chris has achieved the Green Belt certification in BPI (Business Process Improvement), In June of 2009, Chris was promoted to Director of Collection Services and Chris will continue to oversee the DPS and CTRMA collection call centers and will now add our MSB collections activities to his overall responsibilities. EXPERIENCE - EXECUTION ® ETHICS' !MSB G ₹'J Y E K N M E N i" S. E R V 1 L E 5 Salvador Martinez, Senior Collections Manager Sal brings 15 yeas of Call Center Management experience. His previous work experience includes positions as the Operations Manager for US Bank and Chase Bank. During Sal's tenure at Chase Bank, he was also an Auditor and Agency Manager. This gave him the opportunity to view operations from the client perspective and the ability to work with collection agencies all over the United States. He also has Third Party Collection Management experience as a Director of Operations for Encore Receivables, located in Kansas. Sal's current duties include managing the day to day collection operation and strategy for the MSB Court Division. William Goldapp, Resource Analyst Will joins MSB with 5 years of experience working as a Financial Analyst for several financial services companies including Fidelity Investments, Merrill Lynch, and Bear Stearns. He is responsible for monitoring and analyzing performance metrics and pricing of external vendors. He also will be analyzing processes and performance from a strategic perspective to maximize benefits to clients and MSB. Will earned his BBA and MBA from Southern Methodist University with a concentration in Finance. He also earned several analyst certifications and securities trading licenses. Megan Allen, Client Services Manager Megan brings a wealth of knowledge in Client Services Management with over 13 years experience. Megan began her career with Sitel as a Production Assistant and progressed through several key roles including Marketing Executive, Director of Account Operations and into the role of Director of Client Services. Megan has also worked with TRG Systems and Rainmaker Systems as Vice President of Client Services. Stephanie Carvajal, Senior Business Analyst Stephanie joined MSB in July 2001 with experience in the collection industry from employment at Providian Financial Bank and with Lockheed Martin as a Collector for Child Support with the State of Arizona. After receiving several promotions, she holds the position of Senior Business Analyst. She is responsible for coordination between multiple departments for technical needs and scope of work to be performed during implementation. These tasks include analyzing the scope, drafting documentation on script development and creating Standard Operating Procedure documentation. After beginning collection efforts, Stephanie provides continued assistance through in-depth client database analysis, special reporting and database comparison and synchronization between the client and MSB. Ruben Palomino, Collection Supervisor Ruben started with MSB in 1995 as a collection agent. He has held his current position, Collection Supervisor, for eight years. He creates and manages the hourly, daily and monthly agent reports and is responsible for training and mentoring agents. He is a certified location manager for licensing in the State of Nevada. EXPERIENCE « EXECUTION s ETHICS City of FayettevilleRFP 11-03, Collection Services SECTION D: Price Proposal TO BE SUBMITTED WITH ALL PROPOSALS The Proposer understands the City of Fayetteville reserves the right to reject any or all bids and to waive formalities deemed to be in the City's best interest_ PRICE PER PROPOSAL SPECIFICATIONS: $ per account OR PRICE PER PROPOSAL SPECIFICATIONS: 40 See attach % per collection item Please attach any documentation necessary to comfilete!y explain your fees in detail. Write "see attach" in the above fields if needed. ** COMPANY NAME Gila LLC d/b/a Municipal Services Bureau {MS) SUBMITTED BY Bruce Cummings TITLE CEO ADDRESS 6505 Airport Blvd. Suite 100 Austin, Texas 78752 TELEPHONE (512)323-4231 FAX (866)283-6484 EMAIL ADDRESS Bruce . c Gilacorp . com AUTHORIZED SIGNATURE All inclusive proposals must be submitted before Friday, March 25, 2011 at 2:00:00 PM, local time, to the City of Fayetteville, Purchasing Office, Room 306, 113 West Mountain Street, Fayetteville, Arkansas, 72701 in a sealed envelope marked "RFP 11-03, Collection Services". Each Proposer will be required to meet or exceed the specifications attached. Any deviation must be noted with specifications attached to bid proposal. Questions related to the proposal process should be directed to Andrea Foren, City of Fayetteville Purchasing Division, (479) 575-8220, or by e-mail aforen ci.ci.fayetteville.ar.us. City of Fayetteville, AR RFP 11-03, Collection Services Page 15 of 24 Gov E R N 7i ENT S ERVCES Fee Structure MSB proposes a 40% contingency collection fee. We have provided a table below to illustrate the unique services that are included in our contingency fee. pricing: Start-up Incentive MSB will rebate 10% of our commission earned in the first 100 days from contract execution. EXPERIENCE ® EXECUTION - ETHICS MSB' SE33VPC fi5 Netback to the City In an actual competitive contract with two other collection agencies, MSB has a higher collection fee but achieves a higher recovery rate. MSB has provided the following tables to illustrate how we provide a greater netback to this client regardless that our fee is higher: (Netback is total dollars received by the client after the vendor has been paid.) The lowest bidder/commission fee does not produce the best results. Higher commission fees can result in more collection efforts including additional letters, calls and skip tracing. MSB returns hundreds of thousands in additional revenue to our client on this contract. *The average dollar amount of cases submitted by this client is $650. EXPERIENCE - EXECUTION e ETHICS City of Fayetteville RFP 11-03, Collection Services SECTION C: Vendor References The following information is required from all Proposers so all proposals may be reviewed and properly evaluated COMPANY NAME: Gila LLC d/b/a Municipal Services Bureau (MSB) BUSINESS ADDRESS: 6505 Airport Blvd. Suite 100 Austin, Texas 78752 NUMBER OF YEARS IN BUSINESS: 19 HOW LONG IN PRESENT LOCATION: 19 TOTAL NUMBER OF CURRENT EMPLOYEES: 365 FULL TIME PART TIME NUMBER OF EMPLOYEES YOU PLAN TO USE TO SERVICE THIS CONTRACT: 85 FULL TIME PART TIME PLEASE LIST LOCAL COMMERCIAL ANCHOR GOVERNMENTAL REFERENCES THAT YOU HAVE PREVIOUSLY PERFORMED SIMILAR CONTRACT SERVICES FOR WITHIN THE PAST FIVE (5) YEARS LAtl fields must be comeleted): 7 Killeen, Texas COMPANY NAME Killeen, Texas 76540 CITY, STATE, ZIP Jaime Ratliff CONTACT PERSON (254) 501-7869 TELEPHONE (254) 501-7869 FAX NUMBER jraatliff@ci.killeen.tx.us E-MAIL ADDRESS 3. City of Plano, Texas COMPANY NAME Plano, Texas 75086 CITY, STATE, ZIP Vicki Smith CONTACT PERSON 972-941-2176 TELEPHONE 972-941-2024 FAX NUMBER vickisSplano_gov E-MAIL ADDRESS 2. B.ernaliiio County, New Mexico COMPANY NAME Albuquerque, NM 87103 CITY, STATE, ZIP Betty Lajun CONTACT PERSON (505) 841-9837 TELEPHONE FAX NUMBER biujan@metrocourt.state.nm.us E-MAIL ADDRESS 4. Billings, Montana COMPANY NAME Billings, MT 59101 CITY, STATE, ZIP Brooke Handley CONTACT PERSON (406) 237-6185 TELEPHONE FAX NUMBER handleyb@ci.billings.mt.us E-MAIL ADDRESS City of Fayetteville, AR RFP 11-03, Collection Services Page 14 of 24 MSB G O V r P rl M E N T 5 C R L I C C F Management Reports MSB acknowledges the need for a cooperative effort and open communication in regards to reporting collection data to the City. We will provide customized monthly reports to the City. Please read below for a description of our reporting procedures: During the Implementation Phase, the following items will be identified for discovery between the City and the MSB Implementation Team: • Establish Detailed Requirements for all Reports: o Develop, Deliver and Approve Established the City's Preferred Method of Report Delivery: o Mail, Email, FTP, SFTP • Establish the City's Preferred Format for Reports: o Excel, PDF, CSV, Flat File, Crystal, Other • Establish the City's Delivery Schedule for each Report Required: o Daily, Weekly, Monthly, Quarterly, Annually • Determine the City's Reporting Distribution List Our client management team is responsible for generating and specializing reports to suit your needs. The timeframe can be altered to meet your needs as our client, although most have a pre -determined schedule depending on the type of report. MSB has the ability to create custom and ad -hoc reports as needed by the City. All reports can be provided daily, monthly, annually and/or contract to date. MSB has always had an "open door" policy for our clients. All of our reports and collection data can be inspected, including audits, at any time by the appropriate client representatives. All reports, including invoices, may be sent electronically. MSB is committed to fully cooperate with all audit inquiries and confirmation requests. Below you will find a list of MSB's sample reports and their description. All of these reports are offered to the City at no additional cost. EXPERIENCE - EXECUTION ® ETHICS" !MSB EXPERIENCE ® EXECUTION ° ETHICS !MSB G[JV C r, KM C;. N'r C/Ices Daily Status Report This report is confirmation that a payment has been made to MSB. It includes the client reference number, name of the debtor, amount paid and the current balance. It also shows a release date (in the event the payment is made by personal check) on which that payment will be cleared for invoicing. This report is provided to the client on the following day after payment was actually received. naily Status Report Y-Inicipal Services Bureau 0a/12/iJ {B00TS69-7004 msb na'oicing giladt com Pace: 1 LIENT::000010-6' CIREAT'FALLS, MT MUMICTPRL CRT C11er3t Osee'Nupbei DeZe:7danz Nance Type Paymert 1 vaunt Payment Date. Ori ine1 Balance 14SB Reference':Nuyber - ---, Violation Activity Code Release Date Current Balance _ -_ 2001TR0021941 --'------. '-------------------- MERRILL,CARRTE MIC ---- 16 ------- ------- 195.00 `----'-'--L--- [5!12/201O ----____________ 52&.00 3 b3 -331.956( NO TNS'RANCE OWNER ACTIVE 05126/2010 325.00 00P.000522 MERRILL,CARR=R }'IC 16 130.00 05112/2010 370.00 52-33495 &. NO INSJRRNICE 01?NER PAIL) IN E'ULL O5/2a/2010 E.00 2004TR007752'f LARS0N,LORI 1S 25.00 05/12!2010 135.00 0688-.59707 NO INSURAMt,-E OTIMER ACTIVE 05(1../201n 89.00 - --TOTAL PI D : 5350_00 - MONTH TO GATE 540"),00 * Inaicates first Paid Us received by that deterrdant. Payment Types 11-19 and 36: Paid Js EXPERIENCE « EXECUTION ® ETHICS MSB G 0 V C A fa: E .t 7 S% v History Analysis Report This report provides historical information regarding the client's new business, collections, liquidity, commissions, cancellations, payments in full and average account age. It allows the client to view collection performance over an extended period of time and analyze the collection ratio of each batch of their accounts. HISTORY ANALYSIS May 1B, 2010 148W &ISINESS 802101 r $ AV6: May 2010 2631 896845,59 325.67 Apr 2010 5659 1769560.88 3I1.97 War 2810 5291 1707971.47 322.81 Feb 2010 5815 1496874.14 298.30 Jan 2010 4905 1436932.10 292.95 Dac 2009 5671 1607164.49 283.40 May 2009 4050 1216797.30 300.44 Oct 2009 5198 1501604.96 288.88 Sap 2009 5393 1733317.66 321_40 AW. 2009 8507 2336637.26 274.91 Jul 2009 4372 1223293.79 279.80 ,Jun 2009 4915 1297463,64 282.55 May 2009 5150 1498481.77 290.97 Sr 2009 4140 1227675_03 296.54 Mar 2009 5287 1516988.73 286,93 Feb 2009 6067 1662666.31 274.05 Jar6 2009 6206 1689145.93 272,18 Dec 2008 6426 1689865.84 262.97 Nov 2008 5334 1472789.48 276.11 Oct 2008 7020 1973100,?1 266,82 Ssp 2009 4817 1281313.16 266,00 Aug 2008 3948 1029704.66 260.92 301 2003 3906 1020157.87 261.18 Jun 2008 3050 791172.60 255.40 May 2008 7398 880321.93 259.07 Per 200% 4541 1165783,64 256.72 Mar 2008 4019 1030148.54 2545.32 Feb 2008 8299 2604905.58 313.98 Jan 2008 4423 903483.16 204.27 Dac 2007 3903 =75799.02 198.77 NlW 2007 3407 694502.12 200.91 01 2007 3195 465661.96 208.34 Sep 2007 3110 649566.77 208,86 Aug 2007 3098 693102.66 213,57 Jul. 2007 2256 488856.40 216_69 .200 .2007 2536 540326.81 213.06 COL1IC.11C16 --- CURR $ 70 O%!tE 4212,79 84 4212.79 24290.09 IB 43412.25 19361.29 1% 100469.03 17291.15 1% 168516.24 14912_16 18 236942.92 6967_09 0% 283462.79 7688.57 1% 201348.08 6017.35 01 237338.51 8947.97 1% 262010.03 9566.61 0% 316434.14 6609.52 19 260716.01 6925.30 1% 265297.29 6122.23 01 254901_86 2354.65 08 246960_59 3733.31 09 345212.48 2737.10 0% 316611.14 1863_35 0% 363110.36 1560.82 0% 123325.74 1557.30 0% 326907.87 2836.46 0% 354751.33 2513.80 0% 353817,72 1979.50 0% 299526.23 1611-18 0% 356522.27 1052-92 0% 279666.90 890.40 08 262679.87 1428.10 0% 333293.66 301.00 0% 329500.10 782.78 0% 679057.73 499.60 0% 399489.43 260.60 0% 330198.35 1045.10 01 321907,66 1184.90 0$ 326750.13 1417.50 0% 278582.94 1077.60 01 3221.83.47 597.30 09 255727.62 408.10 01 264090,21 LLQIIiDrry --- cU NET GROSS 717 0968 0$ 06 1053.21 2% 2$ 10853.23 4% 64 25117.61 9% 11% 42329.65 12% 17% 59736.48 13% 189 70866.69 121 178 50338.34 12$ 16% 59336.38 116 158 65504.16 108 146 79110.80 16% 216 65181,00 168 211 66326.36 138 178 63727.69 15% 29% 61742.12 17% 23% 86306.48 141 198 79655.79 161 21% 90780.98 19% 251 105786.40 178 22% 81707.86 141 391 867622.35 211 28% 86461.99 221 - 291 74951.45 261 35$ 89157.35 269 358 6967.27 22% 30% 65690.33 216 29% 63326.77 24% 328 82381,48 191 2611 168538.63 331 444 99895.32 32% 436 92554.63 356 471 90459.46 376 491. 82206.87 321 43% 69671.23 378 49% 80552.84 396 52% 63937.53 378 49% 66015.02 --- CAN 83.1SD ----- 4: AVE $ 9 13JU4r 8 PIF AMIF' 25% 23 6445.95 1$ 14 140 258 287 86449.93 5% 164 150 258 420 124967.89 71 393 174 25% 589 174652.68 121 710 146 259 749 213822.78 156 1011 131 259 677 188970.04 121 3270 118 256 682 197170.00 16% 807 122 25% 987 289127.23 19% 1047 130 258 1453 447316,65 268 1047 140 258 1230 375940.75 16$ 1257 395 251 957 267155,95 228 1132 123 25% 1088 321035.92 268 1152 119 25% 1441 399853.00 27% 1134 119 258 1084 279022,87 23% 11189 134 256 1999 406652.52 271 1559 161 25% 3007 931386,62 508 1424 120 251 2199 583033.89 359 1654 1211 25% 1847 485950.25 -298 1928 117 251 2027 537628.49 37% 1363 125 259 2844 761190.80 41% 1649 105 254 1332 393298.09 271 1614 301 256 1257 326402.63 328 1376 103 25% 1441 374932,49 378 1612 86 258 1111 288281.70 36% 1288 08 25% 1415 369714.38 42% 1194 65 25$ 1945 512820.65 44% 1525 67 251 1514 382039_91 378 1508 85 25% 1530 349515,51 13% 2553 319 25% 1326 244931.72 271 2002 85 25$ 1354 238574.28 31% 1755 86 258 1231 218806.77 321 1131 64 258 594 113515.22 379 1747 78 259 575 111192.02 17% 1439 80 251 549 .106577.94 161 1636 80 258 335 09436.96 14% 1323 90 251 365 71953.47 135 1386 79 EXPERIENCE ® EXECUTION ® ETHICSFa GQVERNMENTMSB S£ R V J C E 5 Monthly Invoice This report summarizes all account payments made to the client for a specific month. It totals all the payments and commissions. It also calculates the amount due MSB and/or the client depending on whether the client has chosen net or gross remittance. The statement prints a payment layout that lists the payments received on the client's accounts over a given month. MMICE Rage: 1 Invoice Number: 43776 Client; Account Number: 000017-8 Reporting Period; Month of .par, 2010 Invoice Date: 04/30/10 I ALCO t" 147446 JI SIER# PAY DATE DOE PAID US PAID YCAI M41 8PJ M C RL14A8KS TK-2007-0008779-1 AUT04.i, LESLIE FE3293 04/23/10. 04/23/10 43.55 9.80 0.00 PI£ TK-2008-0005691-1 AMXR9,Zd, KYLE 1309357 04/13/10 04/07/10 748.20 160.35 0.00 PIT TK-2008-0005691-22 A[ 7, KYLE .1148358 64/13/10 04/07/10 348.30 78.37 0.00 PIE TX -2006-0006350-1 M6}ER5W, PATRICK 504025 04/13/10 04/07/10 422.45 95.05 0.430 PIT CF -2009-0000272-1 0063053034, SEREW IG4S20 .04/26/10 04/22/10 957.95 103.04 5.00 P.IF TK-2006-OD09757-1 ASHY, 934J78634 1tP0509 04/15/10 04/15/10 200.00 45.00 0.00 PLF TK 2004-00008552 9901, JESSICA X69316 03/29/10 03/29/10 96.75 21.77 0.60 PIE IX --2007-0002451-1 BIGi9T, MMJ CC6806 04/14.110 04/14/10 6.00 1.35 0.00 PST TK-2007-0002451-2 61101820, KEVIN 00886 04/14/10 09/14/10 188.00 42.30 192.64 2004T800D7512-1 5380, 30IOP 11391 W6430 . 04/19/10 04/19/10 342.79 77.12 -0.26 P11 TK-2007-0009626-1 8160607811, JUL11824'E CC6749 04/14/10 04/14/10 50.00 11.25 72.58 77t-2008-6011102-1 CONPAE1.G, IPILE EQ8652 04/13/10 04/06/10 393.45 88.53 0.00 PIP TIC --2009-0007904»1 CA00EPS, 31N1'111484 111158 05/1?;10 04/19/10 716.12 161.13 0.06 PIT 'LK-2008-0011263-1 A8Y, X7 LL 03.8161 04/14/10 04/14/10 25.00 5.63 395.03 TK^2009-0010447-1 CAR9C1, RCSERT 004126 04,'13/10 04/13/10 .251.61 56.61 20!(.ti0 PIE 04/14/10 04/13/10 200.00 - 45.00 0.00 PIT TK-2007-0061552 2 CAYIOO, CELESTE X69290 04/15/10 04/15/10 250.29 56.32 0.00 PIE TIC -2005-0005706 1,X11€, JEBADFAR X68989 04/28/10 04/14/10 735.30 165.44 0.00 PIP C[ 2005-0002158-1 C7DIE, JEBADLAH X68989 09/28/10 94/14/10 574.05 129.16 0.00 FMF CR-2005-0002158 2 COLE, 305910081 3160900 04/20/10 04/14/10 586.95 132.06 0.00 PIT r8-2008-0008974-2 E S£I£, L4TB9EL 34.3010 04/01/10 04/01/10 100.00 22.50 24'7,5L 01'07/10 04/07/10 100.00 22.50 147.58 20030610111619-22 1032000, GRF. SY AL 006180 04/05/10 04/05/10 77.42 17.42 0.110 PIE TR-2009-0002155-1 0EFRATU, COLUS100HE 1312721 04/06/10 04/05/10 90.00 20.25 303.59 TK-2007-OD12545-1 DCriZr.Mr, 863E110 853631 04/06/10 04/02110 193.71 43.58 0.00 KF TK-2005-00071662-2 EOPOIADY, NEAL EVERE V95266 04,/05/10 04/05/10 73.26 16.48 0.00 PIE TX -2007-0004653-2 EASFNAN, NERUp3 CC68O6 04/13/10 04/13/10 322.50 72.58 i},00 1.11 2004CRID00735-1 EVERETP, SIEPIPNIE '154898 X14/02/1.0 04/05/10 529.03 119.03 0.00 Ply TK-2009-0005186-1 FISHER, LILY 21132987 04/20/10 04/20.'10 25.00 5.63 375.80 CR2004»0000059-1 .1150997, S9[182lTHA X77034 04/01/10 04/01/10 458.06 103.06 0.00 P11 TK 2007-0003649-1 213008218, KAYCE AT8163 04/06/10 94/07/10 305.00 68.63 0.00 P11 7X-2006-0001579-1 GAARSIT, 0801.10 Y87045 03/18,10 03/10/10 169.03 38.03 0.00 PEE en EXPERIENCE - EXECUTION 43 ETHICS MSB Iws C3V E r#M£F.'7 =E Px VICES Status Code Summary This report lists the status of all of the accounts that are currently on the system including broken promises, original balances, current balances, indigent, skip, etc. STATUS CODE SUMMARY NOM CO' 8 OF --- COIGINAL BALANCE - ---- C[RRENM BALAZ0 E --- ------ COLI FIE J.9 ----- SPATUS Ct1)E xr4lrs TOtAL AY+17C 2 -0- A'I19iAGE AT%3tWT -8- AV5P.A4 AbA[13P -8- AVE3A 10 NEW 2154 11 ACTIVE 36055 13 ... 2 14 PRC4tSE`1OPAY 1837 15 8R04 PRQ+IISE 7140 16 2 BP 4 17 G,QCACP 10576 19 NEW SKIP INFO 2142 20 SKIP 222836 21 TD4P 57t3P SJ'ATUS 794 22 GCODP}1 N60ADADD 32 23 DISP[1I'E 6837 25 !OAHI CAIN iO3ID 17 28 SKIPERROR 2 -8 -ID 13962 30 FQJ8 0WED 6 31 HOLU£ORR£VI+1 6 32 WRITEI 46 ALL 303 33 10NUAIWORi{CMLY 2847 40 LEGAL 22 41 ... 1 42 ATE PPESE 1J'ATN 298 43 RE'FURNEECHECK 21 44 INDIGENT 974 45 POSER 'ED SPDPAY 62 46 FYMrSO1ADE1A 4T 299 98 HOIDFOBPYNN JER 375 49 PAY TO COURT 19 0.44 524988.27 7.34 7349165.80 0.00 1660.75 0.37 475589.61' 1.45 1749626.50 0.00 2092.65 2.15 2576809.42 0.44 248425.013 45.36 42929185.18 0.16 191647.88 0.01 7968.45 1.39 1665139.11 0.00 7103.95 2.84 4192926.77 0.00 737.80 0.00 1367.10 0.06 84843.35 0.58 598720.35 0.00 6908.30 0.00 170.10 0.06 73045.05 0.00 5009.90 0.20 234126.35 0.01 18863.43 0.06 73221.92 0.08 85766.22 0.00 4229.75 0.54 7.50 0.00 0.49 1.79 0.00 2.63 0.25 43.84 0.20 0.01 1.70 0.01 4.28 0.00 0.00 0.09 0.61 0.01 0.00 0.08 0.01 0.24 0.02 0.07 0.09 0.00 243.73 411027.69 203.83 6870741.63 830.38 1660.75 258.89 370868.47 245.05 1515815.52 523.16 1646.05 243.65 2367266.27 115.98 248231.33 192.65 42291870.13 241.37 185090.54 249.01 7968.45 243.55 1591031.81 417.88 6891.85 300.31 4123969,93 122.90 737.80 227.85 1367.10 280.01 74658.28 210.30 537577.45 314.01 6908.30 170.10 170.10 247.80 72242.10 238.57 0.00 240.38 205493.99 304.25 10091.29 244.89 62050.61 228.71 76379.99 222.62 4229.75 EXPERIENCE ® EXECUTION e ETHICS 0.56 190.82 9.32 190.56 0.00 830.38 0.50 201.89 2.06 212.30 0.00 411.51 3.21 223.83 0.34 115.89 57.38 189.79 0.25 233.11 0.01 249.01 2.166 232.71 0.01 405.40 5.615 295.37 0.00 122.97 0.00 227.85 0.10 246.40 0.73 188.82 0.01 314.01 0.00 170.10 0.10 242.42 0.00 0.00 0.28 210.98 0.01 162.60 0.08 207.53 0.10 203.68 0.01 222.62 113600.86 478880.49 0.00 105023.57 235054.59 446.60 208646.92 194.60 638795,99 6980.14 (1.00 72297.70 212.10 68513.05 0.00 200.01) 9787.87 61423.05 0.00 0.00 1418.20 5009.90 28750.06 8696.14 11172.73 9007.23 0.00 0.47 52.74 1.98 13.28 0.00 0.00 0.43 57.17 0.97 32.92 0.00 111.65 0.06 19.73 0.00 0.09 2.64 2.87 0.03 8.79 0.00 0.00 0.30 10.57 0.00 12.48 0.28 4.91 0.00 0.00 0.00 33.33 0.04 32.30 0.25 21.57 0.00 0.00 0.00 0.00 0.01 4.76 0.02 238.57 0.12 29.52 0.04 140.29 0.05 37,37 0.04 24.23 0.40 0.06 s`✓�MS.B Ya' L9 V L R. N M L N.T S L R V I C . Collection Summary This report contains two categories of information: new business and collections. Its design is to provide statistical data showing new business and collections for the twelve most recent reporting periods for the indicated client. COLLECTION SUMMARY ------- NEW BUSINESS ----- ------------------- COL5 TIf)A19 PERIOD $ # AVE $ # AVE PTT CCRV May 2010 850846.24 2609 326.12 184061.94 1704 108.02 793 46016.95 .Apr 2010 1765180.03 5660 311.87 410613.79 4019 102.17 1833 102656.49 Mar 2010 1710755.02 5300 322.78 610690.01 5843 104.52 2723 152577.40 Feb 2010 1497787.29 5021 298.30 810457.25 7598 106.67 3615 202620.77 Jan 2010 1437289.45 4907 292.91 490660.94 5413 90.64 2510 122669.19 Doc 2009 1607473.19 5672 283.41 297704.63 3027 98.35 1355 74428.71 Nov 2009 1279053.75 4057 300.48 313590.55 3017 103.94 1357 78400.66 Oct 2009 1513104.56 5237 288.93 355362.17 3421 103.88 1536 88843.85 Sep 2009 1735485.56 5400 321.39 349001.48 3440 101.45 1590 $7253.79 Aug 2009 2340194.06 - 8516 274.80 363028.27 3660 99.19 1680 90761.52 Jul 2009 1224586.69 4378 279.71 346468.34 3433 100.92 1582 86621.27 Jun 2009 1247857.12 4417 282.51 369076.43 3712 99.43 1721 92273.60 Previous 64940140.49 364482 178.17 19265376.66 237224 81.21 112745 4816987.85 83089753.45 425656 195.20 24166092.46 285511 84.64 135040 6042212.05 EXPERIENCE - EXECUTION ® ETHICS 0 0 0 0 0 0 0 0 0 0 0 0 0 0 R If� cc VRNM KIhT S ERV Dialer Report This report totals the number of our outbound call attempts for your accounts. It is broken down to categorize the call result {line busy, no answer, wrong number, etc), the number of live contacts, the number of right party contacts and the percentage of payments based on the right party contacts. A Total Dials % Finish Codes lave Contacts Right Party % PTP to RPC I Contacts 72% Answer Machine 203 1% Dispute 42 Dispute 42 Busy 1733 10% Jail/Pe n Status 6 Jail/Pen Status 6 2% Left Message 3rd Payment Disc Before Analysis 384 Party 2170 Scheduled 179 Dispute 42 0% Not Reached 151 Refusal to Pay 23 3% Payment 250 Fax 462 Scheduled 179 Totals Jail/Pen Status 6 0% Refusal to Pay 23 Left Message 3rd Party 2170 13% Totals 2,571 LineBusy 0 0% Line Dead 514 3% No Answer 7087 42% Not Reached 151 1% Operator Disconnect 58 0% PaymentScheduled dule d 179 1% Refusal to Pay 23 0% Remote Hang Up i n 5% Attendant 865 Remote Hang Up 630 4% S stem Ha t} i n 1 °/ LIVE Coil ets apub �� ,,Fn D 5;. �aVMMIS¢h e3N� Halusal IoPq Y � P Attendant 192 Wrong Number 2273 13%J Total Dials 16,972 EXPERIENCE . EXECUTION ® ETHICS %MSB ro 'MSB U V G R 4 R+5 E N "C' Active Account List This report lists all of the accounts that are currently on the system that are not paid in full or recalled, age purged, recalled by the client, etc. It includes the original and current balance for each account. ACCOUNT STATUS REPORT COUNTY - STATE COURT May 21, 2010 Client# 0000 YOUR MSS7SR _ -. !IU90 PIER - 05IG AL 065B059 Gnzx.E086D AC OWerT NU14 1z 86 8P333EE Fm33IEI 11 095'E RATE Rte' 586098609. -P94558 , 2.2 51 - -- 08/27/03 - 773,75 773.75 0.00- ACTIVE' 12695 894558 2.5 TA2 01/14/0$ - .422.67-. .422.67 0.00 ACTIVE: 12696 - 894558 ,.12E.TAl. 01/14//05.. 402.67 -402.67 -0.00 ACTIVE 257667939 - 898136 A560IT, EUGFi1;E 1670 08/'/03- 543.92 543.92 -0.06 ACTIVE.. 63528 x66492 AB=, MM 11/09/05 26.60 0.00 26.60 Fail in FLli .63519 - X66492 4890TT,, .VM - 11/09105 405.30 231.90 - 173.40 ACTIVE 65391 X42689. 1 )UCHAFID. 70iCAC8 09/22/05 26.60 26.60 0.00 ACTIVE. 65386 x42689 AER7li(85820, 0B 09/22/05 133.30 133.30 0.00 ACTIVE. 65385 X42689 48W1260?Ei17,;3PC7 09/22/05 66.59 66.59 0.00 ACTIVE 65384 X42669 AH6.22c95F2D,EACJCE 09/22/05 1060.59 1060.59 0.00 ACTIVE, 259938196 57507 AEE4M , 02803 (PAU 08/27/03 883.13 883.13 0.00 ACTIVE .74519. EC9770 AA VE, ItEPA 11/10/08 57.33 '0.00 57 33 Paid is noI 74520 - - - - EC9770 3E(?, :. - 11/10./O8.- 778.66 385.32 393.34- ACTIVE 74532 - EC9770 486CVE, 0t 11/10/09 26.66 - - 0.00 26.6 Paid in Tull 74098 106259 .ABNEY, ES001E 03/08,'10 910.66 910,66 0,00 ACTIVE .74099 106259 ABNEY, [251N8 - 03/08/16 1315.33 1315.33 0.00 ACTIVE 74100 106259 AITEY. F3+ki11.4E 03/08/10 133.33 133.33 0.00 ACTIVE 526736586 897404 4.0938. CA3'S 8435? 08/27/03 312.50 312.50 0 0 ACTIVE S,i EXPERIENCE ® EXECUTION ® ETHICS BY JASMINE TEMARES As the government continues to find itself in a budget crisis, more and more government organizations have turned their focus toward re- covering unpaid debts. Without the capital to stay on top of the technology curve, gov- ernment organizations are not able to collect as efficiently or effectively as possible. There- fore, they outsource to private collection agencies. Hiring an outside agency has little fiscal risk for government organizations — private agencies generally work with govem- menrs on a contingency basis; they do not collect if the government does not collect. We asked three experts from private collection firms to share a their thoughts on technology, the challenges of the business and the Future of government collections. Bruce Cummings, CEO of Municipal Services Bureau (MSB) in Austin, 'IX, got his start with the company when he was signed on to help establish the company's brand in the government receivables mar- ketplace. He later became the vice president of Business Development, Cummings was named president and CEO in 2009. Wendell Etheridge, executive vice pres- ident of The Enterprise Consultant Services 18 Bruce Cummings, CEO of Municipal Services Bureau, in Salt Lake City, UT, in March 2009 Group TEC in Sarasota, FL, has spent the past 30 years serving the credit and collection industry. Etheridge founded TEC in 1998 to provide operational advice and project assistance to accounts receivable companies interested in advancing their corporate skills. Mark Neeb, CEO of The Affiliated Group (TAG) in Rochester, MN, got his start as a CFO in the collection industry in 1990. He then moved to TAG, a member - owned credit bureau at the time. TAG later sold the credit reporting division, and Neeb bought what remained, Now with 100 em- ployees, TAG continues to grow. Collection Advisor. What are your responsibilii- ties within your company? Cummings:I am in charge of all business activities, specifically governance of collec- tion practices, legal and compliance issues and revenue recovery for the company and our clients. Additionally, I am responsible for P&L oversight of the receivables man- agement business and managing all aspects of risk. I oversee the company's collection technology and quality management. I also drive the implementation, collection strate- gies and revenue recovery for all clients. www.CollettionAdvisoctone May/June 2010 overnreni couuecr cons Include court coiiectmns, ctrl er surcharge programs, toll collections, video billing, citation enforcement, fines and everything in between, Etheridge, I am responsible for all of our consulting endeavors, including those for out collection clients who handle govern- ment collections. Neeb: My role is to determine which RFP's we will respond to. I also help taaft and ap- prove the responses and determine pricing. I work with the bid writers to ensure that our responses portray TAG in the proper way Upon award of a contract, I assemble the team that launches the project and works with the client Collection Advisor, What kinds of government collection services does your company offer? Cummings: Working exclusively with gov- ernment agencies has allowed MSB to spe- cialize in all areas ofgovernment collections. Our services include the following: court and debt collections; driver surcharge pro - grants; payment processing; toll collections and video billing; violation and citation en- forcement; customized collection strategies and methods; strategic phone queuing and campaigns; custom online reporting tools; and skip tracing. Etherldge: T'EC provides collection train- ing as well as administrative and consulting services to government entities, Most often, our clients are third -parry collection firms, so the services generally involve die collection effort being outsourced by the government entity --- ranging from local cities and coun- ties to state governments €o the Department of Education at the federal level, Neeb: We work with several different states as well as cities and municipalities to recover any and all types of debt. We collect about 24 different types of debts, fees and fines for our government clients — from healthcare debt to utility debt and everything in be- tween. Cities create ordinances for just about May/June2010 www..CoiltctlonAdvisor.com everything. if an ordinance is violated, a fine system follows. This gives rise to many dif- ferent types of debt. Collection Advisor. What are the challenges of government collections? Cummings: Our clients depend on us for the successful collection of unresolved debts to their jurisdiction. Most importantly, they want to see justice served by these accounts brought to closure The challenge is treating debtors with respect while convincing them to pay their obligationsin full and in a timely manner. Our primary objective remains to deliver ethical collection services that maxi- mize recovery on all accounts. MSB provides government collection services nationwide, and it is critical that we adhere to PDCPA guidelines and any other legal requirements specific to a location throughout the collec- tion process. Neeb: Technology can be a challenge be- cause many, if not most, governmental enti- ties are behind the curve with their techno- logical capabilities. Their budgets are tight, which leads them to hire collection agencies and to depend on those agencies to supply needed technology and programming_ Government entities are by nature bu- reaucratic — things often move very slowly. It's not unusual for a bid to be taken and months to pass before the RFD's are re- viewed and action is taken. In the end, the entity might decide against outsourcing. Budgets play a big role in government collections. If the proper budgets are not ap- propriated or if recoveries are greater than anticipated, agencies might have to curtail or even suspend their collection efforts until further money is available. Proximity of the agency to the govern- ment client can present a challenge as well. Deference is frequently given to the local vendor. Collection Advisor: What constraints do you face beyond FDCPA? Cummings: MSB is one of a small group of agencies that has achieved PPMS Certifica- tion byACA International. This certification came as a result of developing, implement- ing and adhering to a set of industry -specific professional practices and policies regarding collections, Maintaining this certification re- quites that we adhere to strict guidelines in our day-to-day operations. Some clients have specific requirements for the collection of their accounts, and we agree to those as well. All collectors must sign and abide by our collectors pledge re- garding appropriate collection methods on accounts. They also agree to our confiden- tiality agreement to protect the sensitive na- ture of debtor information. Etheridge. Compliance has become a major challenge for collection organizations. In ad- dition to the FDCPA, our industry must comply with the FCRA, TCPA, HITECH and GLBA — plus a host of state and local regulations. Then, there's the case law that further defines what may and may not be done. Many times, these rules overlap and in some cases, contradict one another. Continued on page 18 17 "All new employees must be fingerprinted and pass extensive background checks" Brticecummings Continued from page 77 I think the most effective approach is to determine which law, regulation or cli- ent requirement is the most restrictive to the business at hand and make sure to comply with that requirement. Neel?: FORA, HIPAA, TCPA come into play a lot, as well as ordinances and laws unique to cities, municipalities and states. In short, all laws, rules and regulations that con- strain agencies when pursuing other types of debt pertain to government debt. Collect7onAdvisar: What additional security do you require? Cummings: MSB adheres to strict data security stan- dards and contracts with an independent firm to perform SAS 70 audits. We recently received SAS 70 Type Ii certification after an in-depth review BrweCummings of our controls and processes. We use off site data storage, secure document shredding and require FOB token access to our build- ing. All new employees must be fingerprint- ed and pass extensive background checks. Our clients entrust us with sensitive data and financial instruments, so we take all neces- sary measures to ensure their safety. Etheridge: Many of our third -parry clients are establishing separate databases in their collection systems to segregate government debt from other types of debt. Sorne are even setting up separate collection facilities for their government entities. Of course, build- ing and data security are a concern across the board for our industry — not just for government collections. Many companies now employ multiple layers of security, re- stricting both physical and virtual access to consumer accounts. Neel?: We maintain a secure work environ- 18 ment, so we haven't experienced security is- sues beyond what our customers require. Coliecticn Advisor: What technology do you find useful? What do you find most exciting about recent technological advancements? Cummingst Technology is critical to our collection success. Continual advances in software and telephone capabilities allow us to collect more money in less time. We received the "Collection Technology Excel- lence" award one year as a result of the pri- ority we place on advanced technology. We modify our collection procedures as neces- sary to most effectively collect on accounts. Advances in technology are always ex- citing because they generally mean stream- lining a process and reducing the time it takes to generate revenue for our clients. MSB strives to take advantage of new tech- nology that will directly benefit our clients. Etheridge:I am most excited about im- provements in analytical evaluation of data providers. The past few years have seen an explosion in the amount of data that is avail- able to government and collection organi- zations. Unfortunately, having a lot of data does not necessarily translate into success - In fact, some organizations have become so bogged down with data collection — such as asset identification, skip trace information and risk assessment — that it has become an operational hindrance versus a collection aid. In addition, data collection is expensive. Collection organizations of all types need savvy an.alyrics programs to make sense of all the data they receive and to cosh effec- tively acquire and manage it. TEC Services Group recently opened an analytics division to consult with clients in this area. Our solu- tion tracks the cost and quality of the various data providers, helping collection organiza- tions turn data into intelligence. Neeb: We use the standard types of technol- ogy, including predictive dialing. Totting and e -mailing are making their way into our industry in select situations, which is excit- ing. Also, it has become commonplace for agencies to connect directly to their diems` systems, so real-time updating to the clients' databases can be accomplished. Collection Advisor. Predict the future of gov- ernmenttollections, Cummings: Governments will continue to oussource as the constraints of the state bud- gets tighten. Government entities cannot collect as efficiently and effectively as private agencies because they do not have the capital to stay ahead of the technology curve. Pri- vate enterprises have the economies of scale to be in front of the curve and outperform government entities. Etheridge: Like it or not, our federal govern- ment is growing, and as its services expand, the need to pay for those services expands. Stares and local governments are strapped for cash and will continue to be for years. Revenue collections will play a vital role in ensuring solvency, and I believe our industry will play a major role. I expect volumes to dramatically increase on current government collection programs and would be surprised if there are not many new opportunities for third -parry agencies to assist governments with debt collection. Neeb: It has been growing, and I don't see that ending soon. I predict huge growth as governmental units become more mindful about recovering debts. All governmental organizations are strapped for cash, which causes them to focus more on unpaid debts. Collection Advisor: What innovations would you like to see? Cummings:I would like to see less oversight of agencies that operate with high ethical standards. At MSB, we have tailored all our training and internal processes to integrate www(olfealonAdvisorcom May/}erne 2010 "Most people in our industry care a great deal about their impact on consumers, and we .., need to tell the world" Mark Ned ethics. It would be innovative for regulators to penalize agencies that operate with abusive tactics and reward those that operate against a high standard of ethical metrics. Agencies that have a greater number of FDCPA, fed- eral and stare collection lawsuits should be monitored more closely than agencies that pursue excellence. Etheridge: As I mentioned, I'd like us all to. make better use of the data we buy. In addi- don, exciting new tools that integrate Web sites and traditional telephony as well as mobile communication and social networks. will help us more effectively communicate with clients and debtors. Neob: This doesn't fit the definition of in- novation, but agencies are being hampered by regulation that is either outdated (FDCPA) or too restrictive (TCPA). Now we have to worry about the possibility of some form of the CFPA impos- ing dire consequences on our ability to serve our Mark Neeb customers and the consumers from whom we collect. Our industry needs to continue its of forts to be free, within reason, to serve these groups. Also, we need to aggressively seek better public relations and ways to improve our reputation. Most people in our industry care a great deal about their impact on con- sumers, and we, as an industry, need to tell the world. The good people in this industry :far outweigh the bad apples. Finally, we need to purge these had apples from this industry and not allow them to give us a black eye. ColletWon Advisor: What do you do outside of your daily career? Cummings: I enjoy cycling, good wine, nay - cling with my family, coaching my kids' sports, theme parties/costuming and golf Etheridge: I enjoy reading and any activity that helps me learn. I also love spending time with my wife and three children — who keep us busy with their equestrian pursuits, track and field and baseball. Neeb: I'm busy with family life, my kids' ac- tivities and the like. My addiction is golf So many great courses, so little timel C7 May/iune2Ut0 www.(ofiectionAdvisorcom 19 fl GilaC o rporaa1'ioil FOR IMMEDIATE RELEASE Contacts: Bruce Cummings Lee Freedman Gila Corporation Agility Recovery Solutions (512) 323-4231 (704) 927-7931 bruce.cumminc s t_gilacorp.com lee,freedmant agility, recoverv.com Gila Corporation Expands Disaster Recovery Program with Agility Recovery Solutions Agility will provide mobile office, power, technology and satellite within hours of a disaster AUSTIN, Texas (Feb. 18, 2009) — Gila Corporation announced today a significant expansion of its disaster recovery program, a move that will enable its business units and employees to continue operating and servicing clients following a disaster. Gila and its disaster recovery provider, Charlotte, N.C.-based Agility Recovery Solutions, doubled the company's previous recovery capabilities to better serve the needs of the growing organization. If Gila Corporation experiences any type of interruption, Agility will bring any or all of the critical aspects of recovery onsite, based on Gila's needs. Resources consist of power generators, technology including computers and servers, mobile office units outfitted with furniture, satellite for phone and Internet access, and more. Put together, Gila can have a self-sustaining mobile office "campus" setup virtually anywhere. The resources can also be utilized on their own for smaller disaster recoveries caused by power, Internet or phone outages, and server failures. Depending on the scope of the interruption and recovery, Agility can have Gila Corporation up and running within one day of the interruption. "We've made disaster recovery planning a priority for years," said Domenick Riccio, CIO and SVP of Gila's Municipal Services Bureau business unit. "As we reviewed our program this year, we recognized areas we could enhance in case the need arises to activate it. Our expanded program enables Gila to be there for our clients, employees and community, no matter what the future holds." Gila Corporation's two business units, Municipal Services Bureau and Gila Group, offer outsourced collections, payment processing and call center services to organizations throughout the U.S. The company began working with Agility Recovery in 2006. "We took a hard look at the disaster recovery industry in 2004 and challenged our team to adapt our traditional Fortune 100 services to the medium-sized business market," said Bob Boyd, president and CEO of Agility Recovery. "Part of the process addressed customization and scalability, because we wanted the solutions to work and grow with our member companies. This enables Agility and Gila to work so well together. Our businesses are structured for complementary growth." Agility responded to 90 disaster declarations in 2008, including widespread events like Hurricane Ike and isolated events related to floods, fires, technology failures and more. Over the past 20 years, Agility has performed hundreds of recoveries and thousands of disaster recovery tests. "The true value of our recovery program and relationship with Agility is that we can recover virtually anywhere, anytime, with any and all of the resources we need" said Gila's Riccio. "Whether it's a fire, flood or hurricane, we'll be up -and -running, providing a place for our employees to continue building the trust of our clients and partners." About Gila Corporation Founded in 1991, Gila Corporation is a leading nationwide provider of receivables management and business process outsourcing solutions. Headquartered in Austin, Texas, the Company offers outsourced collections, payment processing and call center services to governmental entities, financial services clients and higher education institutions across the country. Through its strategic business units, Municipal Services Bureau (MSB) and Gila Group, the Corporation empowers more than 350 talented employees with advanced technology, data management tools, and leading edge business practices to exceed the expectations of its clients. MSB collects delinquent court fines, fees and debts for a wide variety of governmental entities. Gila Group specializes in outsourced collections and customer service functions for financial institutions. Gila Corporation distinguishes itself based on its Experience, Execution, and Ethics; the firm has also achieved ACA International's Professional Practices Management•Systern (PPMS) certification. Currently less than 1% of the more than 6000 collection agencies provide the benefits of this certification to their Clients. For more information, please visit www.GilaCorp.com or call # 1-800-568-7004. About Agility Recovery Solutions Agility Recovery Solutions provides disaster planning and recovery services to businesses throughout North America. Within hours of an interruption. Agility can recover a business practically anywhere by delivering the power, technology, office space and phonellnternet connectivity organizations need to resume their operations. These can be delivered "a Ia carte" or together to form a self-sustaining mobile recovery office space, free of land -based resources like electricity, phone and Internet connections. The company is a former division of GE that utilizes its vast experience and knowledge to help companies, ranging from small businesses to organizations in the Fortune 100, plan for and recover from disasters. More information is available at www.agilityrecovery.com Gila 'o rporaIton FOR IMMEDIATE RELEASE For More Information, Please Contact: Bruce Cummings, President Gila Corporation dlblal Municipal Services Bureau (MSB) dlbla Gila Group 512.323.4231 Bruce.Cummings@GilaCorp.com GILA CORPORATION - ONE OF THE FASTEST GROWING US COMPANIES! INC. Magazine Ranks Gila Corporation in Top 3000 for 3rd Consecutive Year September 2, 2009 — Austin, Texas - Gila Corporation, through its two business units, Municipal Services Bureau (MSB) and Gila Group, is pleased to announce they have been recognized by Inc. Magazine as one of the top 5000 fastest growing private companies in America for the third year in a row. "Making the Inc. 5000 list for three consecutive years is a tremendous honor and comes as a direct result of our internal efforts to distinguish ourselves by our brand - Experience, Execution, and Ethics," said Patrick J. Swanick, Chief Executive Officer of Gila Corporation. "Training our employees to uphold and adhere to our brand enables us to provide a consistently outstanding level of service to our customers, which insures our continued revenue growth," he added. The 2009 Inc. 5000 list measures revenue growth from 2006 through 2008. To qualify, companies had to be U.S.-based, privately held, and independent — not subsidiaries or divisions of other companies. Each year Inc. Magazine compiles a list of the fastest growing private companies in the US. This year, Gila Corporation made it well within the 5000 mark as it closed in the top 3000 fastest growing companies. Gila Corporation, headquartered in Austin, Texas, is a leading provider of outsourced revenue recovery products and services. The Company provides specialized collection services for governmental entities and financial institutions nationwide. About Gila Corporation Founded in 1991, Gila Corporation is a leading nationwide provider of receivables management and business process outsourcing solutions. Headquartered in Austin, Texas, the Company offers outsourced collections, payment processing and call center services to governmental entities, financial services clients and higher education institutions across the country. Through its strategic business units, Municipal Services Bureau (MSB) and Gila Group, the Corporation empowers more than 350 talented employees with advanced technology, data management tools, and leading edge business practices to exceed the expectations of its clients. MSB collects delinquent court fines, fees and debts for a wide variety of governmental entities. Gila Group specializes in outsourced collections and customer service functions for financial institutions. Gila Corporation distinguishes itself based on its Experience, Execution, and Ethics; the firm has also achieved ACA International's Professional Practices Management System (PPMS) certification. For more information, please visit www.GilaCorp.com or call # 1-800-568-7004. F. F' Gila ' orpo Linn FOR IMMEDIATE RELEASE For More Information, Please Contact: Bruce Cummings Chief Executive Officer Gila Corporation D/b/a Municipal Services Bureau D/b/a Gila Group 512.323.4231 Bruce.Cummin s .GilaCor .com Gila Corporation Receives SAS 70 and PPMSTM Certification Consistent Credentials Help Maintain High Operational Performance May 17, 2010— Austin, Texas Gila Corporation, through its business units, Municipal Services Bureau (MSB) and Gila Group, is pleased to continue its record of operational excellence by being recertified in two industry specific audits. The Company has again been named an approved Professional Practices Management Systems'"" (PPMST`") certified agency and completed the Statement on Auditing Standards No. 70 (SAS 70) Type II certification, for the third consecutive year. "Being continually recognized as a PPMSTM certified agency is extremely important because Gila Corporation holds itself to a higher operational standard. We continually take a critical look at our operations, in order to improve results for our clients," said Bruce Cummings, Gila Corporation's Chief Executive Officer. PPMST'" is a management system for collection agencies based upon developing, implementing and adhering to a set of industry -specific professional practices and policies. Less than one percent of all collection agencies are certified. This unique designation is granted by ACA International, the association for businesses and individuals involved in the credit and collections industry. On an ongoing basis, the PPMSTA1 processes at certified agencies result in a reduction in errant procedures, increased communication among internal departments, better training and development of collections staff, and consistent, efficient and professional handling of client issues. The SAS 70 audit involves an intense certification process where the Company's technology platform and operational processes are tested and must adhere to strict industry standards, as verified by an independent auditor. This certification provides customers with the assurance that their data is properly managed and in compliance with the best practices in the industry. "With the completion of the SAS 70 audit, our clients are assured that we have the appropriate controls in place to meet the strict security standards they demand and deserve. Our clients expect a higher level of service from us, and we consider both our PPMS"M and SAS 70 certifications independent, industry seals of approval," Cummings added. Gila Corporation serves the government sector through its MSB business unit and the financial services sector through its Gila Group division. About Gila Corporation Founded in 1991, Gila Corporation is a leading nationwide provider of receivables management and business process outsourcing solutions. Headquartered in Austin, Texas, the Company offers outsourced collections, payment processing and call center services to governmental entities, financial services clients and higher education institutions across the country. Through its strategic business units, Municipal Services Bureau and Gila Group, the Company empowers more than 350 talented employees with advanced technology, data management tools, and leading edge business practices to exceed the expectations of its clients. MSB collects delinquent court fines, fees and debts for a wide variety of governmental entities. Gila Group specializes in outsourced collections and customer service functions for financial institutions. Gila Corporation distinguishes itself based on its brand: Experience, Execution, and Ethics. The Company works with more than 550 clients in 26 states and is licensed to collect throughout the United States. The firm has achieved ACA International's Professional Practices Management SysternTM (PPMS'M) certification and maintains an A+ rating by the Better Business Bureau. For more information, please visit www.GilaCorp.com or call # 1-800-568-7004. No White Flags Surrendering to Possible Identity Theft Here — Gila Corp Gets "Red Flag" Compliant May 27, 2009 — Austin, Texas - Gila Corporation, d/b/a Municipal Services Bureau (MSB) and Gila Group, a nationwide leader in receivables management and business process outsourcing solutions, is pleased to announce the successful completion of the Red Flag Identity Theft program. The company has been certified Red Flag compliant in accordance with the FTC Fair and Accurate Credit Transactions (FACT) Act #114. This program helps to identify, respond to and mitigate identity theft from each area of the company. "Ethical collection practices are a top priority at Gila, and adhering to federally approved identity theft prevention practices is another way we maintain our high ethical standards," said Patrick J. Swanick, Chief Executive Officer of Gila Corporation. "Completing this program assures our clients that we have both strict and appropriate measures in place to protect the integrity of their sensitive information," Swanick added. Gila Corporation serves the government sector through its Municipal Services Bureau (MSB) business unit and the financial services sector through its Gila Group division. Each individual department at Gila Corporation has completed a Red Flag policy and all departments have been combined into a corporate Red Flag Rules Compliance; which will be reviewed annually. Ethical Collections - Not Only Possible, It's Essential) Gila Corporation Receives "A+" Rating February 9, 2009 — Austin, Texas - Gila Corporation, d/b/a Municipal Services Bureau (MSB) and Gila Group, is pleased to announce their recent "A+" rating, awarded by the Better Business Bureau (BBB). This grade represents the BBB's highest level of confidence that a business is operating in a tru§tworthy manner and will make all good faith efforts to resolve customer concerns. "Our commitment to ethical collection practices is a professional pledge that we make to all of our clients, said Patrick J. Swanick, Gila Corporation's Chief Executive Officer. "We resolve customer issues within one week of receiving a dispute from the BBB, after a thorough internal investigation." The "A+" rating indicates that Gila Corporation scored in the highest possible percentile using the BBB's stringent performance criteria. The BBB assigns ratings based upon evaluations in fourteen categories, including industry experience, length of time in operation, how the business has responded to BBB complaints, and whether the company is a BBB Accredited Business. "We distinguish ourselves in our industry based upon our Experience, Execution, and Ethics. Resolving client issues amicably and collecting past due obligations in a manner that is respectful to the debtor are top priorities at all times," Swanick added. Within the past year, Gila Corporation has achieved the Professional Practices Management System (PPMS) designation from ACA International, received the SAS 70 (Type II) certification and was also named as a BBB Accredited Business. !i1MSB o1J\ErNM NT 5E V1OE FOR IMMEDIATE RELEASE For More Information, Please Contact: Bruce Cummings Chief Executive Officer Gila Corporation d/b/a Municipal Services Bureau 512323.4231 Bruce.Cummings@GilaCorp.com MSB Signs Statewide Agreement with Colorado Approved Vendor for Collections and Payment Processing July 28, 2010, Austin, Texas — Gila Corporation, through its business unit, Municipal Services Bureau (MSB), is pleased to announce it has been named an approved vendor to provide outsourced collections and payment processing services to the State of Colorado. "We are delighted by the opportunity to work with the State of Colorado. MSB has proven its ability to recover more revenue for hundreds of courts all over the nation, and we intend to deliver exceptional results throughout the State as well,' said Bruce Cummings, CEO of MSB. MSB collects delinquent court fines, fees and debts for more than 550 governmental entities nationwide. "MSB works exclusively with government agencies, and our unique experience enables us to find solutions to improve recovery rates and generate revenue for our clients," Cummings added. MSB is currently under contract with the 10`h and 17th Judicial Districts of Colorado and is in the process of securing additional jurisdictions. About Municipal Services Bureau Founded in 1991, Municipal Services Bureau offers outsourced collections, payment processing and call center services to governmental entities nationwide. Headquartered in Austin, Texas, MSB empowers talented employees with advanced technology, data management tools and leading edge business practices to exceed the expectations of its clients. MSB currently works with more than 550 clients in 34 states and is licensed to collect throughout the United States. MSB distinguishes itself based on its brand: Experience, Execution and Ethics. The Company has achieved the Professional Practices Management System (PPMS) certification from the Association of Credit and Collections Professionals (ACA International). Additionally, the Company is a SAS 70 (Type II) certified service organization and maintains an A+ rating with the Better Business Bureau. MSB is also a sustaining member of the National Association for Court Management (NACM). 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We urge you to remit payment in full to the address below. Municipal Services Bureau, a private corporation, has been contracted by <dnsert24> to help recover the debt owed. Please remit your payment in full to the address below. If assistance is needed, please contact a representative toll free at: 1-800-866-9436. This communication is from a debt collector. This is an attempt to collect a debt. Any information obtained will be used for that purpose. If this is an individual account, then it may be reported to a credit bureau. Unless you notify this office within 30 days after receiving this notice that you dispute the validity of this debt or any portion thereof, this office will assume this debt is valid. If you notify this office in writing that you dispute this debt within 30 days from receiving this notice, this office will: obtain verification of the debt or obtain a copy of a judgment and mail you a copy of such judgment or verification; and provide you with the name and address of the original creditor if different from the current creditor. Creditor Account # For Total Date aINSERT44» «INSERT45' «INSERT45 KINSERT47b aINSERT4a> atNSERT49m aINSERT50� €INSERT51m NOTICE: SEE REVERSE SIDE FOR IMPORTANT LEGAL RIGHTS AND INFORMATION TN Residents: This collection agency is licensed by the Collection Service Board of the Department of Commerce and Insurance. CO Residents: Our physical address in Colorado is 80 Garden Center, Suite 3, Broomfield, CO 80020. Our phone number in Colorado is (303) 920-4763. See important disclosure on back of this page. DETACH LOWER PORTION AND RETURN WITH PAYMENT' ...........................................................♦-............••................................................... *+-PRINTSEQ,* PO Box 6031 Hauppauge NY 1178&9031 ADDRESS SERVICE REQUESTED «INSERT32»--aLETTERCODEa eIMBSERIALNUMBER» YMB>> sFullName» c AttnLinea r<Addressl» ((Address2» ({City) «State» <ZipCode»-«ZipPlus4» 29SDMSBUW0E2 Reference: «INSERT32» Account Number: «INSERT4» Total Amount: elnsed42>) Amount Paid: Please make your payment payable to: ainsert24s Please contact us at 1-800-866-9436 if you have any questions. REMIT PAYMENTS TO: <INSERT24» «INSERT17» ONSERT18» EINSERT21» Federal Law Unless you dispute the validity of this debt or any portion thereof, within thirty days after receipt of this notice, we shall assume the debt to be valid. If you notify us in writing of your dispute within this thirty -day period, we will: (1) obtain verification of the debt or a copy of a judgment against you; and (2) mail a copy of such verification or judgment to you. Upon your written request within the thirty -day period, we will provide you with the name and address of the original creditor if different from the current creditor. State Law California Residents: "The state Rosenthal Fair Debt Collection Practices Act and the federal Fair Debt Collection Practices Act require that, except for under unusual circumstances, collectors may not contact you before 8 a.m. or after 9 p.m. They may not harass you by using threats of violence or arrest or by using obscene language. Collectors may not use false or misleading statements or call you at work if they know or have reason to know that you may not receive personal calls at work. For the most part, collectors may not tell another person, other than your attorney or spouse, about your debt. Collectors may contact another person to confirm your location or enforce a judgment. For more information about debt collection activities, you may contact the Federal Trade Commission at 1 -877 - FTC -HELP or www.ftc.�ov." Colorado: "FOR INFORMATION ABOUT THE COLORADO FAIR DEBT COLLECTION PRACTICES ACT SEE W W W .AGO.STATE.CO. USICADCICADCMAIN.CFM." "A consumer has the right to request in writing that a debt collector or collection agency cease further communication with the consumer. A written request to cease communication will not prohibit the debt collector or collection agency from taking any other action authorized by law to collect the debt." Minnesota: "This collection agency is licensed by the Minnesota Department of Commerce." Utah: "As required by Utah law, you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit reporting agency if you fail to fulfill the terms of your credit obligation within 30 days of receipt of the original debt notification." Washington: For information about the Washington Collection Agency Act see: httjx//at.wa.Qov/askcoIumn.aS0x?&idI3SSB. Wisconsin: "This collection agency is licensed by the Division of Banking, P.O. Box 7876, Madison, Wisconsin 53707." New York City: Permit #1155818 North Carolina: Permit #3710 Municipal Services Bureau's Physical Address: Municipal Services Bureau 6505 Airport Blvd., Suite 100 Austin, Texas 78752-3614 MUNICIPAL SERVICES BUREAU HOURS OF OPERATION: PO BOX 16755 j J fi MON -THURS: 7AM -10PM CST AUSTIN, TX 78761-6755 FRI; 7AM - 9PM CST TOLL FREE: (800) 8669436 I A V 2. J 1J SAT: 7AM - 5PM CST AUSTIN, TX: (512) 371-7143 SECOND NOTICE Reference: uTNSERT32» Dear <<FullName >: Date: March 23., 2011 Total Due: $c<Insert42» This is our second attempt to contact you regarding your unpaid debt to the ccinsert24D in the amount of $uInsert42». Our previous notice gave you the opportunity to respond within 30 days of receipt of such notice if you disputed the validity of the debt or any portion thereof. Since no notification has been received by our office, we assume this debt is valid. Municipal Services Bureau, a private corporation, has been contracted by «Insert24» to assist them with the resolution of this matter. Please remit your payment in full to satisfy your debt. Contact our office today at 1-800.866-9436 to discuss this matter. If this is an individual account, then it may be reported to a credit bureau. This communication is from a debt collector. This is an attempt to collect a debt- Any information obtained will be used for that purpose, NOTICE: SEE REVERSE SIDE FOR IMPORTANT LEGAL RIGHTS AND INFORMATION Creditor <INSERT44� .aINSERT45* <INSERT46u 'INSERT47* eINSERT48» e.INSERT49� aINSERT5O aINSERT51» Account# For Total Date TN Residents: This collection agency is licensed by the Collection Service Board of the Department of Commerce and Insurance. CO Residents: Our physical address in Colorado is 80 Garden Center, Suite 3, Broomfield, CO 80020. Our phone number In Colorado is (303) 920-4763. See important disclosure on back of this page. DETACH LOWER PORTION AND RETURN WITH PAYMENT *+«PRINTSEQ> * PO Box 6031 Hauppauge NY 11788-9031 ADDRESS SERVICE REQUESTED oINSERT32»--c<LETTERCODE>> OMBSERIALNUMBER» IMB» eFuliName>> eAttnLinea eAddressl eAddress2>> «City» «State» «ZipCode>>-�cZipPlus4a 24SDMSBU030E3 Reference: «INSERT32n Account Number: aINSERT4» Total Amount: <dnsert42a Amount Paid: Please make your payment payable to: cctnsert24n Please contact us at 1-800-866-9436 if you have any questions. REMIT PAYMENTS TO: «INSERT24» clNSERT17o sINSERT18» «INSERT21» Federal Law Unless you dispute the validity of this debt or any portion thereof, within thirty days after receipt of this notice, we shall assume the debt to be valid. If you notify us in writing of your dispute within this thirty -day period, we will: (1) obtain verification of the debt or a copy of a judgment against you; and (2) mail a copy of such verification or judgment to you. Upon your written request within the thirty -day period, we will provide you with the name and address of the original creditor if different from the current creditor. State Law - California Residents: "The state Rosenthal Fair Debt Collection Practices Act and the federal Fair Debt Collection Practices Act require that, except for under unusual circumstances, collectors may not contact you before 8 a.m. or after 9 p.m. They may not harass you by using threats of violence or arrest or by using obscene language. Collectors may not use false or misleading statements or call you at work if they know or have reason to know that you may not receive personal calls at work. For the most part, collectors may not tell another person, other than your attorney or spouse, about your debt. Collectors may contact another person to confirm your location or enforce a judgment. For more information about debt collection activities, you may contact the Federal Trade Commission at 1 -877 - FTC -HELP or www.ftc.gov." Colorado: "FOR INFORMATION ABOUT THE COLORADO FAIR DEBT COLLECTION PRACTICES ACT SEE WWW.AGO.STATE.CO.US/CADC/CADCMAIN.CFM." "A consumer has the right to request in writing that a debt collector or collection agency cease further communication with the consumer. A written request to cease communication will not prohibit the debt collector or collection agency from taking any other action authorized by law to collect the debt." Minnesota: "This collection agency is licensed by the Minnesota Department of Commerce," Utah: "As required by Utah law, you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit reporting agency if you fail to fulfill the terms of your credit obligation within 30 days of receipt of the original debt notification." Washington: For information about the Washington Collection Agency Act see: http://atci.wa.gov/askcolumn.asax?&id=13558. Wisconsin: "This collection agency is licensed by the Division of Banking, P.O. Box 7876, Madison, Wisconsin 53707." New York City: Permit #1155818 North Carolina: Permit #3710 Municipal Services Bureau's Physical Address: Municipal Services Bureau 6505 Airport Blvd., Suite 100 Austin, Texas 78752-3614 MUNICIPAL SERVICES BUREAU - HOURS OF OPERATION: PO BOX 16755 ! MON - THURS: 7AM -1 0PM CST AUSTIN, TX 78761-6755 f FRI: 7AM — 9PM CST TOLL FREE: (800) 866-9436 SAT: 7AM — 5PM CST AUSTIN, TX: (512) 371-7143 DEMAND FOR IMMEDIATE PAYMENT Reference: icINSERT32» Dear «FulUNames> Date: March 23, 2011 Total Due: $slnsert42 > Our previous correspondences have gone unanswered. We notified you of your outstanding debt(s) owed to elnsert24a> in the amount of $alnsert42». We still to date have not received any correspondence from you. Your debt has not been resolved and remains outstanding. Municipal Services Bureau, a private corporation, has been contracted by «Insert24> , to assist them with the resolution of this matter. This letter is a DEMAND FOR PAYMENT of the total amount due as indicated above. This communication is from a debt collector. This is an attempt to collect a debt. Any information obtained will be used for that purpose. If this is an individual account, then it may be reported to a credit bureau. DO NOT IGNORE THIS NOTICE. If your account has been reported to a credit bureau, we will notify the credit bureau agencies that this matter has been resolved only after payment is made in full. Contact our office today at 1-800-866-9436. Our agents are waiting to assist you with resolving your outstanding obligation. NOTICE: SEE REVERSE SIDE FOR IMPORTANT LEGAL RIGHTS AND INFORMATION Creditor Account # For Total Date cINSERT444' cINSERT4S> � INSERT4 6» «INSERT47z u fNSERT4 8 a atNSERT49b aINSERT5c� aINSERT51a TN Residents: This collection agency is licensed by the Collection Service Board of the Department of Commerce and Insurance. CO Residents: Our physical address in Colorado is 80 Garden Center, Suite 3, Broomfield, CO 80020. Our phone number in Colorado is (303) 920-4763. See important disclosure on back of this page. DETACH LOWER PORTION AND RETURN WITH PAYMENT"` *+-PRINTSEQ>>* PO Box 6031 Hauppauge NY 11788-9031 ADDRESS SERVICE REQUESTED %INSERT32>r--eLETTERCQDE» <<IMSSERIALNUMBER» « 7MB» «FullNamea sAttnLinea sAddress1a ccAddress2a cCitya aState» sZipCodea-ccZipPlus4a 29SDMSDUU3RE4 Reference:<tINSERT32» Account Number: ccINSERT4> Total Amount: olnsert42a Amount Paid: Please make your payment payable to: ainsert24e Please contact us at 1-800-866-9436 if you have any questions. REMIT PAYMENTS TO: a INSERT24s «1NSERT17a a1NSERT18a sINSERT21N Federal Law Unless you dispute the validity of this debt or any portion thereof, within thirty days after receipt of this notice, we shall assume the debt to be valid. If you notify us in writing of your dispute within this thirty -day period, we will: (1) obtain verification of the debt or a copy of a judgment against you; and (2) mail a copy of such verification or judgment to you. Upon your written request within the thirty -day period, we will provide you with the name and address of the original creditor if different from the current creditor. State Law California Residents: "The state Rosenthal Fair Debt Collection Practices Act and the federal Fair Debt Collection Practices Act require that, except for under unusual circumstances, collectors may not contact you before 8 a.m. or after 9 p.m. They may not harass you by using threats of violence or arrest or by using obscene language. Collectors may not use false or misleading statements or call you at work if they know or have reason to know that you may not receive personal calls at work. For the most part, collectors may not tell another person, other than your attorney or spouse, about your debt. Collectors may contact another person to confirm your location or enforce a judgment. For more information about debt collection activities, you may contact the Federal Trade Commission at 1 -877 - FTC -HELP or www.ftc.gov." Colorado: "FOR INFORMATION ABOUT THE COLORADO FAIR DEBT COLLECTION PRACTICES ACT SEE W WW.AGO.STATE.CO.US/CADC/CADCMAIN.CFM." "A consumer has the right to request in writing that a debt collector or collection agency cease further communication with the consumer. A written request to cease communication will not prohibit the debt collector or collection agency from taking any other action authorized by law to collect the debt." Minnesota: "This collection agency is licensed by the Minnesota Department of Commerce." Utah: "As required by Utah law, you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit reporting agency if you fail to fulfill the terms of your credit obligation within 30 days of receipt of the original debt notification." Washington: For information about the Washington Collection Agency Act see: http:l/atg.wa.gov/askcolumn.asax?&id=13558. Wisconsin: "This collection agency is licensed by the Division of Banking, P.O. Box 7876, Madison, Wisconsin 53707." New York City: Permit #1155818 North Carolina: Permit #3710 Municipal Services Bureau's Physical Address: Municipal Services Bureau 6505 Airport Blvd., Suite 100 Austin, Texas 78752-3614 MUNICIPAL SERVICES BUREAU HOURS OF OPERATION: PO BOX 16755 MON — FRI: 7AM -. 9PM CST AUSTIN, TX 78761-6755 f V SAT: 7AM -- 5PM CST TOLL FREE: (877) 787-8646 " AUSTIN, TX: (512) 323-4216 To make a payment online, please visit us at www.msbpay.com USE YOUR TAX REFUND TO PAY OFF YOUR DEBT Reference No. «INSERT32» Dear uFullNarrte>y, Date: March 23, 2011 Total Due: $<dnsert42> TAX REFUND SEASON is upon us and we encourage you to take this opportunity to use your TAX REFUND to meet your obligation to the court. Municipal Services Bureau, a private corporation, has been contracted by alnsert24> to contact you immediately about your outstanding obligation(s) listed below. As of the date of this letter, the court's records show an outstanding balance in the amount of <clnsert24> . This amount may be subject to change due to additional court fines or adjustments added by the court after the date of this letter. Contact our office toll free at 1-866-865-9442 or in Austin, Texas locailyat (512) 323-4215 for further instructions in resolving your outstanding matter. Creditor aINSEPT44» .«3NS5RT'4 5» «INSERT46* «INSERT47* aINSERT40* ,xrNSERT491, efNSERT50* tINSERT51* Account Far Total, Date MSB ACCEPTS ALL MAJOR CREDIT CARDS; CHECKS, WESTERN UNION, AND MONEY GRAM. If you send us a check, it may be converted into an electronic funds transfer (EFT). This means we will copy your check and use the account information on it to electronically debit your account for the amount of the check. If the EFT cannot be completed because of insufficient funds, we may try to make the transfer up to two additional times and, if allowed by your state law, a fee will be assessed to your account for any dishonored check or money order presented as payment. TN Residents: This collection agency is licensed by the Collection Service Board of the Department of Commerce and Insurance. CO Residents: Our physical address in Colorado is 80 Garden Center, Suite 3, Broomfield, CO 80020, Our phone number in Colorado is (303) 920-4763. See important disclosures on back of this page. " DETACH LOWER PORTION AND RETURN WITH PAYMENT PLEASE INDICATE REFERENCE NUMBER ON YOUR CHECK OR MONEY ORDER .................. ......................I. ..... ......... _............................................................. PRINTSEQ>>* PO Box 6031 Hauppauge NY 11788-9031 ADDRESS SERVICE REQUESTED Reference Number: «INSERT32n Account Number: aINSERT4» «INSERT32n--«LETTERC0DE» «IMB» ❑LI Cartl Number {SE£ ;BELOW l�4rICEI Exp [lafa , ' Caftlhotder;Signatute,: ❑ 7AlioaeorAlternate 'Phone TolaiDue:. �"'` ❑ $e1nsert42a NeiJ;Address`Into .,' . - City «IMBSERIALNUMBER)) eFuilNameu uAttnLinea aAddressl eAddress2 > <Citya «State» <(ZipCodea-eZipPlus4a 29SDMSBU030A7 NOTICE: Where allowed by state law, a convenience fee will be added to all credit card transactions: $10 for payments up to $499.99; $15 for payments of $500 to $749.99; and $20 for payments of $750 and greater. REMIT PAYMENTS TO: MUNICIPAL SERVICES BUREAU PO BOX 16755 AUSTIN TX 78761-6755 =787515755558: Federal Law Unless you dispute the validity of this debt or any portion thereof, within thirty days after receipt of this notice, we shall assume the debt to be valid. If you notify us in writing of your dispute within this thirty -day period, we will: (1) obtain verification of the debt or a copy of a judgment against you; and (2) mail a copy of such verification or judgment to you. Upon your written request within the thirty -day period, we will provide you with the name and address of the original creditor if different from the current creditor_ State Law California Residents: "The state Rosenthal Fair Debt Collection Practices Act and the federal Fair Debt Collection Practices Act require that, except for under unusual circumstances, collectors may not contact you before 8 a.m. or after 9 p.m. They may not harass you by using threats of violence or arrest or by using obscene language. Collectors may not use false or misleading statements or call you at work if they know or have reason to know that you may not receive personal calls at work. For the most part, collectors may not tell another person, other than your attorney or spouse, about your debt. Collectors may contact another person to confirm your location or enforce a judgment. For more information about debt collection activities, you may contact the Federal Trade Commission at 1 -877 - FTC -HELP or www.ftc.goy." Colorado: "For information about the Colorado Fair Debt Collection Practices Act see www.coloradoattorneweneral.qov/ca." oq v/ca." "A consumer has the right to request in writing that a debt collector or collection agency cease further communication with the consumer. A written request to cease communication will not prohibit the debt collector or collection agency from taking any other action authorized by law to collect the debt." Minnesota: "This collection agency is licensed by the Minnesota Department of Commerce." Utah: "As required by Utah law, you are hereby notified that a negative credit report reflecting on your credit record may be submitted to a credit reporting agency if you fail to fulfill the terms of your credit obligation within 30 days of receipt of the original debt notification." Washington: For information about the Washington Collection Agency Act see: htt :Ilat .wa. ov/askeolumn.as x?&id=13558. Wisconsin: "This collection agency is licensed by the Division of Banking, P.o_ Box 7876, Madison, Wisconsin 53707." New York City: Permit #1155818 North Carolina: Permit #3710 Municipal Services Bureau's Physical Address: Municipal Services Bureau 6505 Airport Blvd., Suite 100 Austin, Texas 78752-3614 Io3- i1 SURETY BOND STATE OF ARKANSAS State Board of Collection Agencies Bond Number 41244680 KNOW ALL PERSONS BY THESE PRESENTS: Gila LLC dba Gila Group dba 8325 Tuscany Way, Building 4 That we, Municipal Services Bureau , as Principal whose address is Austin. TX 78764 and Platte River Insurance Company as Surety are held firmly bound unto the State of Arkansas, in the sum of Twenty Five Thousand and Noll 00 DOLLARS ($25,000.00 ) payable in lawful money of the United States ofAmerica to the State of Arkansas for the use and benefit of the State and/or any injured party. We firmly bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally by these presents. The Conditions of the Above Obligations Are Such That: The person, partnership, , LLC, association or corporation giving the bond shall, upon written demand, pay to the Arkansas State Board of Collection agencies for the party from whom any account, bill or other indebtedness is taken for collection, in accordance with the terms of the agreement upon which it was received for collection and in accordance with the Rules and Regulations of the Arkansas State Board of Collection Agencies. That the aggregate liability of the Surety for a breach of the conditions of the bond shall, in no event, exceed the amount of the bond. The Surety shall have a right to cancel such bond upon written notice to the Arkansas State Board of Collection Agencies, given at least thirty (30) days prior to the effective date of such termination; and that thereafter, the Surety shall be relieved of liability for any breach of condition occurring after the effective date of the cancellation. This bond is effective until canceled by the Surety. IN WITNESS WHEREOF, said Principal and Surety have executed this bond, this 12th day of Aril 2012 . Gila LL d Gila PRINCIPAL: dba aF THIS BOND IS EFFECTIVE: July 1, 2012 (Pteatep By: Name and Title (pteasc SURETY: Platte R'e�.nsurance Company (Please print) By. �. Signature John Allen ntgomery. Attorney -I -act Name and Title (Attach Power of Attorney) (pl ae print) (SEAL) 1dns ava,iWM*ndraa,ma7 STATE OF TEXAS: COUNTY OF TRAVIS) SS: On Z - 2/ 2— before me, a Notary Public within and for said County and State, personally appeare John Allen Montgomery know to me to be the Attorney -In -Fact of Platte River Insurance Company, the corporation described In and that executed the within and foregoing instrument in behalf of said corporation and (s)he duly acknowledged tome that sjch comation executed the same. BARBARA A. o Texas Ill•' Notary Public, State of Texas Htr� Mv Comm J ` anuary 13. 20188 5 IIIIH }tii" •'r���4 " 't f `Y. /,tilt t .. .� 1j '1.J i1. r, y, Jj ✓� ,'.f •t,• 1 _ r .• . ti ` �4 +'�! � \ ' T l - t t. , /vt1, ill. \ , y l'4 .;,. •: � ! •fir..;: + rI+' c• r + r . 't r • •. ►• ► r". . ♦ � r � '*+ +'., + +' te '':'1 :; r,l}t1+t;_,' ,lU `. Li *1 ti 14 l/ ► I +-.I: 'tMe ti '.li.l, ' UI LI U) i t ..: J ;► 4 l;J",' kid IE PLATTE RIYrER INSURANCE COMPANY 412446 0 ji POWER OF ATTORNEY:. KNOW ALL MEN BY THESE PRESENTS, That the PLATTE RIVER INSURANCE COMPANY. a corporation of the State of Nebraska, having its } principal offices in the City of Middleton, Wisconsin, does make. constitute and appoint =' -- - — -- - t;I;ORGi: S SYKES. J R. IAMFS TODD DAVIS. EDMUND PETER PINCOI FS 11; JOHN ALLEN MONTGOMERY ---- -- _--.__w -.. ___ __—_.-- JOHN S BURNS FR, ROBERT TBRIlX,IS--- — ----- _I its true and lawful Attorney(s)-in-fact, to make, execute, seal and deliver for and on its behalf, as surety, and as its act and deed any and all bonds, undertakings and contracts of suretyship, provided that no bond or undertaking or contract of suretyship executed under this authority shall exceed in ._ ==i ' amount the sum of ' ' All WRITTEN INSTRUMENTS IN AN AMOUNTNO•I' IOU XCCED: 5250000000 — �'a► This Power of Attorney is granted and is signed and scaled by facsimile under and by the authority of the following Resolution adopted b) the Board of Directors of PLATTE RIVER INSURANCE COMP.' NY at a meeting du called and held on the 8th day of Janus 2002. duly January. L" ti •• ✓.BAs:: "RESOLVED, that the President, and Vice -President, the Secretary or Treasurer, acting individually or otherwise, be and they hereby are granted the y F 1- �� power and authorization to appoint by a Power of Attorney for the purposes only of executing and attesting bonds and undertakings and oilier er writings a _ -:' •r_ obligatory in the nature thereof, one or more vice-presidents. assistant secretaries and attorney(s)-in-fact, each appointee to have the powers and duties ~ I usual to such ollices to the business of the Corporation; the signature of such officers and the seal of the Corporation may he affixed to such power of _' • attorney' or to ancertificate relating thereto by facsimile, and am: such power of attorne) or certificate bearing such facsimtle signatures or facsimile Ts seal shalt be slid and binding upon the Corporation in the future with respect to any bond or undertaking or other writing obligatory in the nature thereof to which it is attached. Any such appointment may be revoked, for cause. or without cause, by any of said officers, at any time." }+`'L IN WITNESS WHEREOF, the PLATTE RIVER INSURANCE COMPANY has caused these presents to be signed by its officer undersigned and its i! ;? -: • corporate seat to be hereto affixed duly attested, this 2nd day of flay, 2011. ;; '-_ t ttest: PLATTE RIVER INSURANCE COMPANY C sy , ,J Richard W Allen Ilia �EA l David F. Pauly President L 1 President CCO & >=E` Suiety & Fidelit) Operations STATE OF WISCONSIN ) ..• atwK COUNTY OF DANE 1 r� ' • :-i{ On the 2nd day of May. 2011 before me personally came David F. Pauly, tome known, who being by me duly sworn, did depose and say: that he resides in the County of Dane. Stale of Wisconsin; that he is President of PLATTE RIVER INSURANCE COMPANY, the corporation described herein and P. which executed the above instrument; that he knows the seal of the said corporation: that the seal affixed to said instrument is such corporate seal: that it was so affixed h) order of the Board of Directors of said corporation and that he signed his name (hereto by like order. •''L. . LL K$UE3R ' .H Daniel W. Krueger �'- STATE OF WISCONSIN , S'�•'• Notary Public, Dane Co., WI S, COUNTY OF DANE � .; CERTIFIC,:TF My Commission 15 Permanent• =:.. wy' i, the undersigned, duly elected to the office stated below, now the incumbent in PLATTE RIVER INSURANCE COMPANY, a Nebraska Cotporation, ' authorized to make this certificate, DO HEREBY CERTIFY that the foregoing attached Power of Attorney remains in full force and has not been revoked; and furthermore, that the Resolution of the Board of Directors. set forth in the Power of Attorney is now in force. Signed and scaled at the City of Middleton. State of Wisconsin this /.t1 day of €+.Cr , 2 L. - - Alan S. Ogilvie '- Secretary I==w THIS DOCUMENT IS NOTVALID UNLESS PRINTED ON GREEN SHADED BACKGROUND WITH A RED SERIAL NUMBER IN THE UPPER RIGHT HAND CORNER. IF YOU HAVE ANY QUESTIONS CONCERNiNG THE AUT HENTICITY OF THIS DOCUMENT CALL 800.475.4450. - t F • PR -PA IS-tl) j ti yttr[.I � i'I����r�f{I,'..t,1,F�it�r, gt'rjr. i 1' r: r.l In7h It rl i t '1 1 , u nip y ni 1tt i r i; r.4 R it' , i,i,.r r i'4.. t,�l�i,w ��.i 1. {��, :fTl 7 �,, ..��11 :fit:, ,:t*1•r 1'I .E'i4.. 1'i.�,r r/`. ,Fi �{•{ yet }{ µ��t ,yi� i�.!'1r 1 k �.f�♦yi x.1'1. �,. ITI.��. {}1, �.ITi rl rc' c r _ .,i. �rri, �' ..^y ♦ ',� �11't'' • I` , 1''r•` 1..\ : /).,, A. 'J' 3. �i 5 +,'v i.r` �,. l. I, ��. ,A A, /'�4,'rJ.'� - t� i ,.A. f+! � �� y Yi! •,'�t. f.J�%` a IMPORTANT NOTICE To obtain information or make a complaint: You may contact your insurance agent, Wortham Insurance & Risk Management at: 512-453-0031 You may call Capitol Insurance Companies' toll -free telephone number for information or to make a complaint at: 1-800-475-4450 You may contact the Texas Department of Insurance to obtain information on companies, coverages, rights or complaints at: 1-800-252-3439 You may write to the Texas Department of Insurance at: P.O. Box 149104 Austin, TX 78714-9104 FAX# (512)475-1771 PREMIUM AND CLAIMS DISPUTES: Should you have a dispute concerning your premium or about a claim you should contact the agent first. If the dispute is not resolved, you may contact the Texas Department of Insurance. ATTACH THIS NOTICE TO YOUR POLICY: This notice is for information only and does not become a part or condition of the attached document. I05-11 RIDER BOND NO. 775202938 AR EPP. DATE OP RIDER: AUGUST 01, 2011 PRINCIPAL: GILA LLC DBA GILA GROUP DBA MUNICIPAL SERVICES BUREAU OBLIGEE: THE STATE OF ARKANSAS DATE OF BOND: NOVEMBER 05, 2010 _ This rider is to be attached to and form a part of the above described bond. The surety hereby gives its consent to CHANGE PRINCIPAL BOND ADDRESS TO: 8325 TUSCANY WAY, BLDG 4, AUSTIN, TX 78754 Nothing herein contained shall be held to vary, alter, waive or extend any of the terms, conditions, provisions, agreements or limitations of the above mentioned bond other than as above stated. Signed and Dated on the 27 DAY OF JUNE, 2011. GILA LLC DBA GILA GROUP DBA i AL SERVICES BUREAU n - Principal BY: 'J� 4'&/(.. TRAVELERS CASUALTY & SURITY COMPANY OF A14ERICA Surety BYE .STEP E LAUSEN torney-In-F c STATE OF MINNESOTA) COUNTY OF HENNEPIN) SS: On JUN 2 7 2011 before me, a Notary Public within and for said ULA SEND known to moth be the Attorney -In -Fact of TRAVELERS CASUAL' corporation described in and that executed the within and foregoing instrumei acknowledged to me that such corporation executed the same. USA M EUBANKS NOTARY PUBLIC - MWNESOTA MY COMWSSION EXPIRES 01/'31116 and State, perso corporation appeared WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER This Power of Attorney is granted under and by the authority of the following resolutions adopted by the Boards of Directors of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company. St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States Fidelity and Guaranty Company, which resolutions are now in full force and effect, reading as follows' RESOLVED, that the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President, any Vice President. any Second Vice President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any Assistant Secretary may appoint Attorneys -in -Pact and Agents to act for and on behalf of the Company and may give such appointee such authority as his or her certificate of authority may prescribe to sign with the Company's name and seal with the Company's seal bonds, recognizanoes, contracts of indemnity, and other writings obligatory in the nature of a bond, recognizance, or conditional undertaking, and any of said officers or the Board of Directors at any time may remove any such appointee and revoke the power given him or her; and it is FURTHER RESOLVED, that the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President or any Vice President may delegate all or any part of the foregoing authority to one or more officers or employees of this Company, provided that each such delegation is in writing and a copy thereof is filed in the office of the Secretary; and it is FURTHER RESOLVED, that any bond, recognizance, contract of indemnity, or writing obligatory in the nature of a bond, recognizance, or conditional undertaking shall be valid and binding upon the Company when (a) signed by the President, any Vice Chairman, any Executive Vice President, any Senior Vice President or any Vice President, any Second Vice President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any Assistant Secretary and duly attested and scaled with the Company's seal by a Secretary or Assistant Secretary; or (b) duly executed (under seal, if required) by one or more Attorneys -in -Fact and Agents pursuant to the power prescribed in his or her certificate or their certificates of authority or by one or more Company officers pursuant to a written delegation of authority; and it is FURTHER RESOLVED, that the signature of each of the following officers: President, any Executive Vice President, any Senior Vice President, any Vice President, any Assistant Vice President, any Secretary, any Assistant Secretary, and the seal of the Company may be affixed by facsimile to any Power of Attorney or to any certificate relating thereto appointing Resident Vice Presidents. Resident Assistant Secretaries or Attorneys -in -Fact for purposes only of executing and attesting bonds and undertakings and other writings obligatory in the nature thereof, and any such Power of Attorney or certificate bearing such facsimile signature or facsimile seal shall be valid and binding upon the Company and any such power so executed and certified by such facsimile signature and facsimile seal shall be valid and binding on the Company in the future with respect to any bond or understanding to which it is attached. 1, Kori M. Johanson, the undersigned, Assistant Secretary, of Farmington Casualty Company, Fidelity and Guaranty Insurance Company. Fidelity and Guaranty Insurance Underwriters, Inc., St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States Fidelity and Guaranty Company do hereby certify that the above and foregoing is a true and correct copy of the Power of Attorney executed by said Companies, which is in tell force and effect and has not been revoked. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed the teals of said Companies this day of JUN 2 7 2011 .20 Kod M. Johan Assistant Secretary pM4 ■ \M IA 1M! n ■ x+44+ TRH 877 " "'a .alair+l" > 1951 ;`[sALs�Bg8 1� `v . ► ,,,,c. 'fi. rid +a � . ,� � � i� To verify the authenticity of this Power of Attorney, call 1-800-421-3880 or contact us at www.traveletsbond.com. Please refer to the Attorney -In -Fact number, the above -named individuals and the details of the bond to which the power is attached. POWER OF ATTORNEY TRAVELERS J Farmington Casualty Company St. Paul Mercury Insurance Company Fidelity and Guaranty Insurance Company Tlavelers Casualty and Surety Company Fidelity and Guaranty Insurance Underwriters, Inc. Travelers Casualty and Surety Company of America St. Paul Fire and Marine Insurance Company United States Fidelity and Guaranty Company St. Paul Guardian Insurance Company Attorney -In Fact No. 220248 Certificate No. 0 0 3 5 71121 KNOW ALL MEN BY THESE PRESENTS: That St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company and St. Paul Mercury Insurance Company are corporations duly organized under the laws of the State of Minnesota, that Farmington Casualty Company, Travelers Casualty and Surety Company, and Travelers Casualty and Surety Company of America are corporations duly organized under the laws of the State of Connecticut, that United States Fidelity and Guaranty Company is a corporation duly organized under the laws of the State of Maryland, that Fidelity and Guaranty Insurance Company is a corporation duly organized under the laws of the State of Iowa, and that Fidelity and Guaranty Insurance Underwriters, Inc., is a corporation duly organized under the laws of the State of Wisconsin (herein collectively called the "Companies"), and that the Companies do hereby make, constitute and appoint Janis St. Martin, Lisa M. Eubanks, and Stephanie Lauseng of the City of MinnenppliS , State of Minnesota , their true and lawful Attorneys) -in -Fact, each in their separate capacity if more than one is named above, to sign, execute, sea] and acknowledge any and all bonds. recognizances, conditional undertakings and other writings obligatory in the nature thereof on behalf of the Companies in their business of guaranteeing the fidelity of persons, guaranteeing the performance of contracts and executing or guaranteeing bonds and undertakings required or permitted in any actions or proceedings allowed by law. IN WITNESS WHEREOF, the Companies have caused this instrument to be signed and their corporate seals to be hereto affixed, this day of May 2009 Farmington Casualty Company Fidelity and Guaranty Insurance Company Fidelity and Guaranty Insurance Underwriters, Inc. St. Paul Fire and Marine Insurance Company St. Paul Guardian Insurance Company 8th St. Paul Mercury Insurance Company Travelers Casualty and Surety Company Travelers Casualty and Surety Company of America United States Fidelity and Guaranty Company eau+��` `Na .� 4r 60`''�.,6,.y/��"��y' tr'4'• �►>'ar► 'u(D ��16; � 1�� �� � 4�. ;•EAL �' '�\$5ALit° ; pp�y� � \'""" J4 t�' t� Slate of Connecticut City of Hartford ss. By: Gwrg Thompson, nior ece President On this the 8th day of May 2009 . before me personally appeared George W. Thompson, who acknowledged himself to be the Senior Vice President of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., St. Paul Fire and Marine Insurance Company. St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States Fidelity and Guaranty Company, and that he, as such, being authorized so to do, executed the foregoing instrument for the purposes therein contained by signing on behalf of the corporations by himself as a duly authorized officer. a.rtl r In Witness Whereof, I hereunto set my hand and official seal. ;aide. My Commission expires the 30th day of June, 2011. Marie C. Tetreault, Notary Public 58440-4-09 Printed In U.S.A. OF ATTORNEY SURETY BOND STATE OF ARKANSAS State Board of Collection Agencies BOND NO. 775202938 AR KNOW ALL PERSONS BY THESE PRESENTS: That we GILA LLC DBA GILA GROUP DBA MUNICIPAL SERVICES BUREAU, as Principal, whose address is 6505 AIRPORT BLVD., SUITE 100, AUSTIN, TX 78752 and TRAVELERS CASUALTY & SURETY COMPANY OF AMERICA, as Surety, are held and firmly bound unto the State of Arkansas, in the sum of TWENTY-FIVE THOUSAND DOLLARS AND NO/100 ($25,000) payable in lawful money of the United States of America to the State of Arkansas for the use and benefit of the State and/or injured party. We firmly bind ourselves, our heirs, executors, administrators, successors and assigns, jointly, and severally by these presents. The Conditions of the Above Obligations Are Such That: The person, partnership, LLC, association or corporation giving the bond shall, upon written demand, pay to the Arkansas State Board of Collections agencies for the party from whom any account, bill, or other indebtedness is taken for collection, in accordance with the terms of the agreement upon which it was received for collection and in accordance with the Rules and Regulations of the Arkansas State Board of Collection Agencies. That the aggregate liability of the Surety for a breach of the conditions of the bond shall, in no event, exceed the amount of the bond. The Surety shall have a right to cancel such bond upon written notice to the Arkansas State Board of Collection Agencies, given at least thirty (30) days prior to the effective date of such tarminationi and that thereafter, the Surety shall be relieved of liability for any breach of condition occurring after the effective date of the cancellation. This bond is effective until canceled by the Surety. IN WITNESS WHEREOF, said PRINCIPAL and SURETY have executed this bond, this 02 DAY OF NOVEMBER, 2010. This bond is effective NOVEMBER 05, 2010. PRINCIPAL: GILA LLC DBA GILA GROUP DBA MUNICIPAL SERVICES BUREAU (Please print) By: Signature Name & Title (please print) SURETY: TRAVELERS CASUALTY & SURETY COMPANY OF AMERICA By:.FJ_Y_ Signatur STBPBANIB LAUSENG, Attorney -In -Pact Name and Title (please print) (ATTACH POWER OF ATTORNEY) J:/dce5D/Denise/BondForm2002 L._.. +sa- �/'`� ��F-•r! �"�ry� ��_„��'�✓��\ f j/�`�4���i'�tir��� �-ti �� '5`L, � � -. .�- _ _``�..{� - F `? 4"� 'fir W r _ M ryy F �Y FYI ryt Y - .'. CD '• -,ice _': ,+� i}!}7' 1 d > '''1 � E� � �' �•f!� ' ! 4 ..�, r � r Fes. -, ',�7( K.:rs �� 'c �,r _ +�: e:,� l r,�rc '$ t�►a ;fir.- S J: f,� `jh �� .r