City to Send Debt Collectors after Demolition Debt

by Mike Bevel CollectionIndustry.com

And there are more scofflaws to deal with. This time it?s Dayton, OH, who?s putting its foot down on property owners who have ignored bills from the city for demolition of structures they didn’t maintain.

The city is turning to local debt collectors to help recoup losses from folks who feel like they don?t necessarily have to pay. In the past, the debts were immediately certified to property taxes for collection by Montgomery County. That can take a long time, interim City Manager Rashad Young told the Dayton Daily News.

“When we tear down buildings, we bill the owners. Our finance department bills, and bills and bills,” Young said. “At some point we have to move forward.”

Before Dayton can bring in collection agencies, the accounts must be written off first. It could be a violation of the FDCPA if the city continued to bill while the account was also being pursued by collectors.