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R-433-96 06/24/96RESOLUTION 9-32 RESOLUTION AUTHORIZING EXECUTION OF AGREEMENT WITH MUNICIPAL COLLECTION SERVICES, INC. FOR VEHICLE STICKER COLLECTION SERVICES WHEREAS, the Village of Lemont requires all residents to purchase a sticker for all vehicles registered in Lemont; and WHEREAS, the Village utilizes the revenue from vehicle stickers to fund maintenance of roadways and streets; and WHEREAS, the Village seeks to insure full resident compliance with this requirement; and WHEREAS, the attached agreement between the Village of Lemont, Illinois and Municipal Collection Services, Inc. will assist in achieving full compliance. NOW, THEREFORE, BE IT RESOLVED THAT the attached agreement is hereby approved. PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF LE ONT, COUNTIES OF COOK, WILL AND DU PAGE, ILLINOIS, on this o? 0— day o �..' COUNTIES 1996. AYES NAYS PASSED ABSENT Barbara Buschman ✓ Alice Chin Keith Latz ✓ Connie Markiewicz ✓ Richard Rimbo Ralph Schobert V ^ Approved by me this ,Vday of CHARLENE SMOLLEN, Village Clerk Attest: CHARLENE SMOLLEN, Village Clerk ASNESKI, Village President RESOLUTION q-33 RESOLUTION AUTHORIZING EXECUTION OF AGREEMENT WITH MUNICIPAL COLLECTION SERVICES, INC. FOR VEHICLE STICKER COLLECTION SERVICES WHEREAS, the Village of Lemont requires all residents to purchase a sticker for all vehicles registered in Lemont; and WHEREAS, the Village utilizes the revenue from vehicle stickers to fund maintenance of roadways and streets; and WHEREAS, the Village seeks to insure full resident compliance with this requirement; and WHEREAS, the attached agreement between the Village of Lemont, Illinois and Municipal Collection Services, Inc. will assist in achieving full compliance. NOW, THEREFORE, BE IT RESOLVED THAT the attached agreement is hereby approved. PASSED AND APPROVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF LE NT, COUNTIES OF COOK, WILL AND DU PAGE, ILLINOIS, on this ,?ya day of 1996. Barbara Buschman Alice Chin Keith Latz Connie Markiewicz Richard Rimbo Ralph Schobert AYES NAYS PASSED ABSENT CHARLENE SMOLLEN, Village Clerk Approved by me this ■ VL - day of , ,..; — • •' 6. /n7/ 1 1 CHARD A. KWASNESKI, Village President Attest: CHARLENE SMOLLEN, Village Clerk STANDARD TERMS AND CONDITIONS This agreement made and entered into this day of , 1996, by and between Municipal Collection Services, Inc., an Illinois corporation and duly licensed collection agency in the State of Illinois with principal offices situated at 7350 College Drive, Suite 106 Palos Heights, Illinois 60463, (hereinafter referred to as MCSI), and The Municipality of Lemont, an incorporated municipality of the State of Illinois with municipal offices situated at 418 Main Street, Lemont, Illinois 60439 (hereinafter referred to as "The Municipality"). WITNES SETH WHEREAS, The Municipality has established an Ordinance to regulate the licensing of motor vehicles registered in The Municipality; and WHEREAS, The Municipality has an obligation to the taxpayers of The Municipality to collect a license fee for motor vehicles registered in The Municipality; and WHEREAS, The Municipality desires to implement the "Municipal Vehicle Tag Delinquency Identification System" to assist in the collection of vehicle license fees due The Municipality; WHEREAS, MCSI has the knowledge, experience and expertise as well as the computer hardware and software to assist The Municipality in implementing an effective collections system; and WHEREAS, it is contemplated The Municipality will generate revenues, which exceed the revenues presently generated, through an effective identification and collection system. NOW, THEREFORE, in consideration of the mutual and several promises and covenants herein contained, the parties do hereby agree as follows: Article I General Terms During the term of this agreement, The Municipality agrees to utilize MCSI as the exclusive provider of services in order to implement an effective "Municipal Vehicle Tag Delinquency Identification System" and to pay MCSI in accordance with terms and conditions hereinafter set forth in this agreement. MCSI agrees to provide specified services to The Municipality in accordance with the terms and conditions hereinafter set forth in this agreement. The term of this agreement shall be for the 199_ vehicle tag sales year. Article II Specific Terms and Conditions A. For and in consideration of payments to be made by The Municipality as described in Article III of this Agreement, MCSI agrees to: 1) Create an off -site computer data base of vehicles and vehicle owners /lessors, whose Illinois state registration identifies an address within the municipal corporate limits. 2 2) Update the above computer data base with current municipal vehicle license data. 3)Prepare and mail correspondence to the owners /lessor of vehicles registered in The Municipality who have not purchased a municipal vehicle license (s). 4) Respond to all telephone and written inquires from the above referenced owners/lessors to achieve resolution. 5) Perform a thorough collection effort utilizing written and telephone contact to effectuate the collection of the debt due and owing The Municipality. 6) Report all owners /lessors who fail to purchase a vehicle license or pay the late penalty fee to a major credit bureau or credit rating agency. 7) Provide a listing of all owners /lessors who fail to purchase a vehicle license or pay the late penalty fee to the municipal Police Department for proper handling. 8) Provide monthly management reports on the progress of the collection effort. 9) Use its best efforts and all lawful means, which in its judgement and discretion will result in the collections of the debts due and owing The Municipality. 10) Reimburse The Municipality for the cost of purchasing the Illinois Secretary of State file on magnetic tape. 11) Provide a listing or computer file containing pertinent information regarding all vehicles registered in The Municipality to establish a new vehicle license sales base. B. The Municipality agrees to: 1) Acquire the necessary vehicle license data file from the Illinois Secretary of State on a magnetic tape for computer use. 2) Provide MCSI with access to its current vehicle tag data whether maintained in manual or automated data files, of those vehicles whose owners have purchased a current vehicle license prior to the penalty period, when requested by MCSI. New tag sales data is to be supplied to MCSI on a weekly basis as purchases are made. 3) Forward all correspondence and telephone contacts from the above owners /lessors to MCSI on a daily basis as it may occur. ARTICLE III Financial Terms Both parties agree and it is understood that the compensation to be paid MCSI for their services is based upon the vehicle license sales revenues. The compensation rate established for this agreement is 50% of the revenues from vehicle license sales received by The Municipality after the implementation date. Implementation date is defined as the date MCSI mails the initial correspondence to the delinquent owner /lessee. 3 Payments to MCSI hereunder shall be paid on a billing month basis and shall be due not later than thirty (30) days after the last day of the billing month. Billing months are described as calender months. MCSI will reimburse The Municipality for the costs associated with the acquisition of the Illinois Secretary of State magnetic tape. The Municipality reserves the right to compromise or settle certain claims which may affect MCSI's right to collect. In such event, MCSI will be entitled to their full compensation for the published vehicle license fees and penalties. ARTICLE IV Termination It is agreed that The Municipality may terminate this Agreement upon written notice to MCSI of its non - compliance with terms of this agreement and upon MCSI's failure to cure the default (non - compliance) within thirty (30) days of the date written notice is received from The Municipality. In the event The Municipality terminates the Agreement due to the MCSI's failure to cure the default, no further payments past the effective date of termination will be due to MCSI. It is agreed that MCSI may terminate this Agreement upon written notice to The Municipality of it's non - compliance with the terms of the Agreement and upon The Municipality's failure to cure the default (non - compliance) within thirty (30) days of the date written notice is received from MCSI. In the event MCSI terminates the Agreement due to The Municipality's failure to cure the default, MCSI will be allowed to continue the collection effort through the agreements expiration date and will be entitled to commissions earned as stipulated in ARTICLE III. ARTICLE V Notices Any and all notices required hereunder shall be certified mail, return receipt requested, and shall be deemed properly served if mailed to the parties at the address listed below. MCSI Municipal Collection Systems, Inc. 7350 College Drive Suite 106 Palos Heights, Illinois 60463 Article VI Miscellaneous Municipality Municipality of Lemont 418 Main Street Lemont, Illinois 60439 MCSI and its personnel shall be considered independent contractors and shall not be deemed employees of The Municipality. This Agreement shall be subject to and approved and governed by the laws of the State of Illinois. This Agreement shall be binding upon and inure to the benefit of MCSI and The Municipality and their respective heirs, legal representatives, executors or administrators. 4 It is agreed that should either party be required to seek enforcement of the terms of this agreement, the party in noncompliance (default) agrees to pay any and all costs of such enforcement, including but not limited to collection fees, attorneys fees, and court costs. This agreement contains the entire Agreement between the parties hereto and supersedes all prior agreements or understandings between the parties. This agreement may only be altered or modified by written instrument signed by both parties. IN WITNESS WHEREOF the parties have hereunto set their respective hands and sealed the day and date first above written Municipal Collection Services, Inc kn Illinois; Corporation By Francis: . ............................... 9a n, Presid ernt Attested: ......................... .......................... ......................... .......................... ........................... Secreta ry 5