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State Budget

2004 Special Session I

Budget Amendments - HB5001 (Conference Report)

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Debt Collection Provisions - General Provisions (language only)

Item 4-5.04 #1c

Item 4-5.04 #1c
Special Conditions and Restrictions on Expenditures
Third Party Transactions

Language
Page 461, after line 10, insert:
"d.  DEBT COLLECTION SERVICES:  
1.  Notwithstanding any provision of the Code of Virginia or this act to the contrary, the Virginia Commonwealth University Health System Authority shall have the option to participate in the Office of Attorney General's debt collection process.  Should the Authority choose not to participate, the Authority shall have the authority to collect its accounts receivable by engaging private collection agents and attorneys to pursue collection actions, and to independently compromise, settle, and discharge accounts receivable claims.
2.  Notwithstanding any provision of the Code of Virginia or this act to the contrary, the University of Virginia Medical Center shall have the authority to collect its accounts receivable by engaging private collection agents and attorneys to pursue collection actions, and to independently compromise, settle, and discharge accounts receivable claims, provided that the University of Virginia demonstrates to the Secretary of Finance that debt collection by an agent other than the Office of the Attorney General is anticipated to be more cost effective.  Nothing in this paragraph is intended to limit the ability of the University of Virginia Medical Center from voluntarily contracting with the Office of the Attorney General's Division of Debt Collection in cases where the Center would benefit from the expertise of legal counsel and collection services offered by Office of the Attorney General.
3.  Notwithstanding any provision of the Code of Virginia or this act to the contrary, the Department of Taxation shall be exempt from participating in the debt collection process of the Office of the Attorney General."

Explanation
(This amendment clarifies the debt collection process for the two academic health centers. This amendment also clarifies that the Department of Taxation is exempt from participating in the debt collection process of the Office of the Attorney General.)

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