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Item 12 - Collection Agency Services
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Item 12 - Collection Agency Services
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Last modified
7/30/2025 4:12:14 PM
Creation date
7/30/2025 4:11:32 PM
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City Clerk
Doc Type
Agenda Packet
Agency
Finance & Management Services
Item #
12
Date
8/5/2025
Destruction Year
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EXHIBIT 1 <br /> AGREEMENT FOR COLLECTION AGENCY SERVICES <br /> BETWEEN BC SERVICES, INC. AND <br /> CITY OF SANTA ANA <br /> THIS AGREEMENT is made and entered into on this 5th day of August, 2025 by and between BC <br /> Services, Inc. ("Consultant"), and the City of Santa Ana, a charter city and municipal corporation <br /> organized and existing under the Constitution and laws of the State of California("City"). <br /> RECITALS <br /> A. On March 12, 2025, the City issued a Request for Proposal No 25-040 ("RFP") by which <br /> it sought to retain a firm having the required skill and knowledge in general collection <br /> agency services. <br /> B. Consultant submitted a responsive proposal that was selected by the City. Consultant <br /> represents that Consultant is able and willing to provide such services to the City described <br /> in the scope of work that was included in the RFP. The RFP is referenced herein as if <br /> incorporated in full. <br /> C. In undertaking the performance of this Agreement, Consultant represents that it is <br /> knowledgeable in its field and that any services performed by Consultant under this <br /> Agreement will be performed in compliance with such standards as may reasonably be <br /> expected from a professional consulting firm in the field. <br /> NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the <br /> terms and conditions hereinafter set forth, the parties agree as follows: <br /> 1. SCOPE OF SERVICES <br /> Consultant shall perform during the term of this Agreement, the tasks and obligations <br /> including all labor, materials, tools, equipment, and incidental customary work required to fully <br /> and adequately complete the services described and set forth below and in Scope of Services - <br /> Exhibit A, attached hereto and incorporated by reference. <br /> 2. COMPENSATION <br /> a. Consultant shall provide services on a contingency basis and retain commission on all <br /> monies actually collected on assigned accounts, whether paid to City or Consultant, at <br /> the following rates: <br /> i. 14.5%for all first and second placement accounts receivable initially placed for <br /> collection with Consultant beginning September 1, 2025; <br /> ii. 25%for all second placement accounts receivable initially placed for collection <br /> with Consultant beginning January 1, 2026; and <br /> iii. 25% for accounts requiring City-authorized legal action whereas approval must <br /> be obtained from City prior to initiating any legal action on an account. <br /> Page 1 of 13 <br /> #2068906vl <br />
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