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  5. ›RFB 26-021 UTILITY BILL DEBT COLLECTIONS

City of Champions·Illinois

RFB 26-021 UTILITY BILL DEBT COLLECTIONS

Closes 3/30/2026$200k – $1MRequest for Proposal
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Description

The City of East St. Louis, Illinois is seeking a licensed collection agency to manage delinquent municipal utility accounts. The contractor will issue written and electronic notices, conduct telephone outreach, perform skip‑tracing, negotiate payment plans, report to credit bureaus where permissible, and recommend litigation for non‑paying accounts. Monthly performance reports are required, and all activities must comply with the Fair Debt Collection Practices Act, Illinois Collection Agency Act, and related consumer‑protection statutes. The contract is expected to run for three years with possible renewals, and compensation will be primarily contingency‑based, subject to negotiation. • Scope: full‑service utility debt collection (notices, calls, skip‑tracing, negotiations, credit reporting, litigation referrals) • Minimum qualifications: ≥5 years municipal/utility collection experience, active Illinois collection license, clean regulatory record, adequate staffing/technology • Compensation: contingency percentage plus any agreed‑upon fees; litigation cost structure disclosed separately • Evaluation criteria: experience, compliance, methodology, cost, references • Submission: sealed proposals marked “RFP – Utility Bill Debt Collection Services” due by 2:00 PM March 30 2026 • Contract term: 3 years, optional renewals

Attached files

Contact

Tereyowna Martin(Purchasing Director)

(618) 482-6718

Key dates

Opened
2/22/2026
Questions due
3/10/2026
Closes
3/30/2026
Duration
3 years

Last updated

Details

Type
Request for Proposal
Industry
Financial Services
NAICS
561440
Solicitation №
RFB 26-021

Budget estimate

$200,000 – $1,000,000

The RFP specifies a contingency‑based compensation model, typical for municipal debt collection contracts. Assuming the city’s annual utility debt portfolio ranges from $5 million to $15 million and industry contingency rates fall between 10 % and 30 %, the contractor’s annual revenue could be roughly $500,000–$4,500,000. Over the three‑year contract term, total earnings might therefore lie between $1.5 million and $13.5 million. Adjustments for additional fees, litigation costs, and performance bonuses could shift the range upward. A conservative estimate for budgeting purposes is $200,000 – $1,000,000 for the first year, scaling with collections.

AI estimate from the solicitation

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