PILLAR: Fiscally Sound
AGENDA DATE: June 24, 2026
COUNCIL DISTRICT(S): Citywide
DEPARTMENT: Office of Procurement Services
PRIORITY: N/A
______________________________________________________________________
SUBJECT
Title
Authorize a five-year service contract, with two two-year renewal options, for the collection of delinquent utility accounts and other miscellaneous accounts for the Dallas Water Utilities Department - Southwest Credit Systems, LP, most advantageous proposer of four - Estimated Annual Net Revenue: Dallas Water Utilities Fund $621,679.39
Body
BACKGROUND
This service contract will provide for the collection of delinquent utility accounts and other miscellaneous accounts for the Dallas Water Utilities Department (DWU). DWU bills over 328,000 customers for water, sewer, sanitation, and stormwater services. To provide due process, DWU sends delinquent, termination, and/or final bill notices to customers who are past due for services already rendered. In FY 2024-25, DWU billed approximately $1 billion, and the internal average collection rate was approximately 96 percent. Delinquent accounts greater than $5,000 will be referred to the City Attorney’s Office, at their discretion, they may refer those accounts to a third-party collection company. All accounts equal to or less than $5,000 will be referred directly to the third-party collection company.
A six-member committee from the following departments reviewed and evaluated the qualifications:
• Dallas Water Utilities Department (2)
• Department of Aviation (1)
• Department of Information and Technology Services (1)
• Department of Transportation and Public Works (1)
• Office of Procurement Services (1)*
*The Office of Procurement Services evaluated cost and local preference.
The committee selected the successful respondents on the basis of demonstrated competence and qualifications under the following criteria:
• Experience 35 points
• Approach 30 Points
• Cost and Timeframe 30 Points
• Local Preference Program 5 points
As part of the solicitation process and in an effort to increase competition, the Office of Procurement Services used its procurement system to send out email notifications to vendors registered under relevant commodity codes. To further increase competition, the Office of Procurement Services uses historical solicitation information, the Internet, and vendor contact information obtained from user departments to contact additional vendors.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On August 24, 2016, the City Council authorized a five-year collection agency services contract, with two two-year renewal options, for the collection of delinquent utility and other miscellaneous accounts with Southwest Credit Systems, L.P. by Resolution No. 16-1307.
On January 12, 2022, the City Council authorized Supplemental Agreement No. 1 to exercise the first of two, two-year renewal options to the service contract for the collection of delinquent utility and other miscellaneous accounts with Southwest Credit Systems, L.P. by Resolution No. 22-0155.
FISCAL INFORMATION
Estimated Annual Net Revenue: Dallas Water Utilities Fund $621,679.39
LOCAL PARTICIPATION
|
Prime |
Status |
Workforce % |
|
Southwest Credit Systems, LP |
Local |
30.36% |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
|
Request for |
• Utilized for professional, personal, revenue, and planning services |
|
Proposal |
• Recommended offeror is the responsible offeror whose proposal most closely meets established criteria for the services advertised, based on demonstrated competence and qualifications at a fair and reasonable price |
|
|
• Always involves the evaluation by committee |
|
|
• Allows for negotiation on contract terms, including price |
The Office of Procurement Services received the following proposals from solicitation number BAZ25-00028771. We opened them on November 21, 2025. We recommend the City Council award this service contract in its entirety to the most advantageous proposer.
*Denotes successful proposer
Proposers Address Score
*Southwest Credit Systems, 4120 International Pkwy. 84.93
LP No. 1100
Carrollton, TX 75007
Realford consulting LLC 10725 Royal Park Dr. 82.00
Dallas, TX 75230
Harris & Harris, Ltd. 111 West Jackson Blvd. 79.20
Suite 650
Chicago, IL 60604
I.C. System, Inc. 444 Highway 96 East 75.94
St. Paul, MN 55127
OWNER/EXECUTIVE
Southwest Credit Systems, LP
Jeff Hurt, Chief Executive Officer