A potentially alarming looking item on Monday's Council agenda is no need for concern.

On Monday, the Town asked Council to approve the writing-off of over $5,000 in unpaid water bills. CAO Darryl Drohomerski explained the situation.

"There was ablout $5,100 roughly in outstanding utility accounts. It's all water utility accounts, so there was a few residential and one or two commercial accounts in that."

Fortunately, he pointed out, just because the accounts are written off, it doesn't mean the Town will stop trying to get its money.

"We don't stop trying to collect them, but we have to be able to write them off to be able to close the books on that year. We try to collect where it's shown on the books and then we simply, at that point, write it off on the books. So, that's what we've asked [Council] for."

This isn't the first time utility account balances have been written off, nor will it be the last.

"We usually do this every year," said Drohomerski. "So, next year we'll do ones that were uncollectable in 2017, but again, they could have been incurred in 2016 or 2015, and we've determined from an accounting standpoint that they're uncollectable and we call it 'bad debt.'"

Writing off 'bad debt' is common with businesses and is part of the Generally Accepted Accounting Principles that govern the accounting world.

In Feb. 2017, the Town changed its Water and Wastewater by-law. Documents at Monday's Council meeting explained that this change disallowed tenant water utility accounts saying: "utility accounts must remain in the property title holder's name, meaning that the risk of financial loss due to utilities bad debt is largely mitigated."

More Local News

UPDATE 11 Avenue SE Blocked Off By RCMP

UPDATE; The bomb squad from Edmonton attended the scene, inspected the suspicious item and deemed it not to be explosive. Residents will be allowed back into the building later this evening. On…

Local Teacher Reflects on Notre Dame Fire

Many Canadians woke up on Monday morning to the news of the famous Notre Dame Cathedral in Paris, France was engulfed in flames. While the flames were miles away, the impact was still felt in the…

Morrin School Announces Hockey Program

On Tuesday, Morrin School Principal, Don Yavis, announced a new option for the junior high students where they will be able to learn about and participate in hockey.

Horner Dominates in Drumheller-Stettler

The people of the Drumheller-Stettler riding have had their voices heard with the Provincial Election last night and their voices selected Nathan Horner as their future MLA.

Nathan Horner Wins Drumheller-Stettler Riding

UCP candidate Nathan Horner has won the Drumheller-Stettler riding with a landslide of majority votes. With 96 polls reporting out of 102, Horner leads his closest rival, Independent Candidate Rick…

LIVE Coverage - 2019 Alberta Election

LISTEN LIVE to our 2019 Provincial Election coverage for the Drumheller-Stettler and Olds-Didsbury-Three Hills riding with Jason Blanke, Allie Ruckman and special guest Heather Colberg (Mayor - Town…

DrumhellerOnline.com is Drumheller's only source for community news and information such as weather and classifieds.

Search the Biz Guide