COLUMBUS, Ohio -- A new plan will not only help the city of Columbus collect on debts but also will save the city hundreds of thousands of dollars.
Going after debt is costly.
Right now, the city pays collection firms 30 percent of every debt collected, and that money comes out of the pockets of taxpayers.
Now, the city is shifting the burden to the delinquent taxpayer.
Anyone who is late paying income taxes, fees and fines -- such as late utility payments or damages to city property -- will be charged an administrative fee or 30 percent of their debt.
Last year, the city could have saved about $313,000 with this plan.
"It's critical that we get down that low and that close to our budget. Every penny we save, we save a service," council member Eileen Paley said.
Paley said the only exception to this new fee will be traffic tickets.
Those of you with outstanding debt will have a grace period to pay your bills.
The new administrative fee doesn't kick in until April 1, 2009.
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