Industry Experts Discuss the Market for Municipal Receivables

May 10th, 2007

Given the fact that municipal governments in the United States are owed approximately $40 billion in delinquent receivables, the market for ARM companies to assist these entities in collecting their debts is both geographically and financially immense.

In April of 2007, Kaulkin Ginsberg published an executive brief, Facing the Budget Crunch: Creative Strategies for Municipal Collections*, which reviews how communities – from large cities like San Francisco, Ca., to small towns like Wilton, Ct. – are now employing third-party agencies and law firms to improve their collection programs. For example:

  • Parking violations represent a significant amount of revenue for the city of Chicago – $161.3 million in total in 2005. To improve return on these fees, the city now uses an agency to collect a portion of its overdue parking fines.
  • Communities, such as Dallas, Texas; San Leandro, California; and several towns in Augusta County, Virginia, are using collection agencies to help collect overdue library fees.
  • San Francisco utilizes collection law firms to settle outstanding restitution and other unpaid court judgments, resulting in millions of dollars in revenue.

While many technology vendors, collection law firms, and contingency agencies are already providing ARM services to cities and towns across the country, many opportunities exist for penetration into this expanding market.

If you are looking to enter the market for municipal collections, or you are already involved in the sector, we conducted a Municipal Collections Teleseminar on Thursday, May 17, 2007. This teleseminar provided valuable “real-world” insights into the current state of municipal receivables management.  The recording is available for purchase in the insideARM.com bookstore.

Panelists for the teleseminar will include Patrick Scott, East Coast Director of Client Services for MuniServices Company, headquartered in Fresno, California. MuniServices has partnered with more than 260 cities throughout the United States to enhance and manage their municipal revenues. We will were also joined by Michael Vallandingham, a Partner with Linebarger Goggan Blair & Sampson, LLP. Linebarger Goggan, which sponsored both Kaulkin’s municipal executive brief and this teleseminar, has more than 30 years experience assisting government clients in collecting their receivables through more than three dozen offices across the country. In addition, Renee Linnabary, Senior Vice President of AllianceOne, shared her company’s expertise related to municipal collections. AllianceOnce has served the government and court sector of the ARM industry since the early 1980s and has a client base of more than 500 courts and government entities.

In the face of budgetary shortfalls and reductions in federal funding over more than two decades, U.S. cities are tasked with finding new approaches to recovering the bad debt — from past due taxes, library fines, parking tickets, etc. — that is owed to them. The growing demand for municipal collections represents a clear opportunity for ARM firms interested in serving these types of clients.

Comments are closed.

LATEST BLOGS

Is Preparation Necessary Without Intent to Sell?

January 23, 2018

Are you prepared to sell your business, even if you have no intention of selling it any time soon? Circumstances can quickly arise that are completely out of your control, and being prepared will undoubtedly help you obtain the highest price and best possible deal terms.....

» see this post    » all posts


The ED Procurement Debacle: Decision Made?

January 18, 2018

The Department of Education has made a decision regarding the procurement process and has awarded two new contracts. What do the experts think? Mike Ginsberg sat down with Randy Kamm to discuss just that in this two part, highly informative podcast! ....

» see this post    » all posts


Can I Determine the Market Value of my Business Before Going to Market?

January 16, 2018

The decision to sell your business should not be taken lightly. Before you respond to the next inquiry from an unknown buyer and potentially turn your business upside down, make sure you have a thorough understanding of your company's value.....

» see this post    » all posts


RECENT ANNOUNCEMENTS

Mike Ginsberg to speak at RMA's 2018 Annual Conference

January 9, 2018

Mike Ginsberg, president and CEO of Kaulkin Ginsberg, will be joining a panel of industry experts at RMA's 2018 Annual conference to discuss M&A and financing in the ARM industry.....

» see more




Kaulkin Ginsberg Company announces the addition of the U.S. federal government market segment on KG Prime.

December 5, 2017

As part of Kaulkin Ginsberg expanding market intelligence series on KG Prime, their market research team recently retrieved and examined data regarding the US federal government market segment.....

» see more




Kaulkin Ginsberg Company Teams up with Topline Valuation Group to Offer a New Valuation Service

November 21, 2017

Kaulkin Ginsberg, in conjunction with its sister company Topline Valuation Group, announces the release of a product that provides ARM company owners with an in-depth assessment of their company's strategic opportunities.....

» see more