TENNESSEE TECHNOLOGICAL UNIVERSITY

ACCOUNTING POLICIES AND PROCEDURES

11. Collection of Accounts Receivable

The University, to the maximum extent practical, requires payment in advance for all fees, services and goods to avoid the creation of receivable. Considering this requirement, accounts and notes receivables may still be generated from programs and activities including but not limited to student loan programs, traffic and parking fines, library fines, bad checks, contracts, property rental and damage, loss or liability to the University by others. 

11.2 Collection Procedures 

The University has established a systematic procedure for collecting receivables from all persons including students and employees. Pursuant to T.C.A. 28-1-113, there is no time limit on the University's authority to collect receivables unless otherwise expressly provided by statute. 

11.2.1 Enrollment and Record Holds 

A student must pay any past due debts and obligations incurred in prior academic terms before being permitted to register. Additionally, all known debts and obligations incurred during the current term must be paid prior to a student being allowed to complete pre-registration for any future terms. All registration fee billings include any account balance due. In addition, pursuant to T.C.A. 49-9-108, no grade reports, certificates of credit, diplomas or transcripts will be issued to any student with any unpaid or delinquent debt or obligation owed to the institution or school unless such debt or obligation is evidenced by notes or other written contracts providing for future payment, such as, but not limited to, loans authorized under federal or state education or student assistance acts. Additionally, once a petition in bankruptcy has been filed, all holds should be lifted. (See Accounting Policies and Procedures, Section 11.9.1) However, the University has no obligation to provide student grade reports, etc., unless specifically requested to do so. 

11.2.2 Registration Fees 

Collection efforts begin immediately for any registration fees or housing rental not charged and collected during the registration process, such as fees generated by the addition of courses, rental resulting from late dormitory assignments, financial aid adjustments or any other amounts due for prior terms. 

A. A "Student Account Balance" memorandum will be sent to the student's post office box or home address requesting payment within a period not to exceed 10 days of the date of the memorandum. 

B. If the student account balance is not paid, a "Termination of Attendance" memorandum requesting payment within a period not to exceed ten (10) days will be sent by certified mail when practical to both the student's post office box and/or home address. 

C. A "Termination of Attendance" form will be initiated immediately by the Business Office if payment is not made in response to the "Termination of Attendance" memorandum. Copies of this form will be sent to the Assistant Vice President for Enrollment and Records or Office of Extended Education and to the student's local and/or home address. This will result in the termination of the student's enrollment and the elimination of the related current term fees from the Business Office records. 

11.2.3 Billing 

For receivables other than registration fees, collection efforts should begin no later than thirty days after the obligation has been incurred or other fixed due date. 

A. Student Billings 

Computerized statements are run monthly except at the end of December due to the holidays. To provide students with their account status at the end of each semester, statements are also issued during the week prior to finals when practical considering the time frame. 

B. Delinquent Accounts 

For other accounts receivable, a minimum of three (3) billings or letters of contact shall be sent by the institution at thirty (30) day intervals once an account becomes delinquent. The third letter or billing for other accounts receivable and for students who are no longer enrolled should indicate that the account will be referred to a collection agency or the Office of the General Counsel, as the case may be, if payment is not made by a specific date. Sending letters or billings by certified mail is optional. Advertisers and sponsors of athletics will be invoiced per contractual agreements or other commitments immediately when information is received from the Sports Information Director. A listing of unpaid accounts will be provided to the SID monthly for verification that the University has fulfilled its obligations (programs, banners, etc.) and that further collection proceedings are in order. Then collection procedures will proceed with the second billing and continue as noted above. 

C. Defaulted Accounts 

Receivables of $25.00 or more shall be referred to a collection agency if the University's collection efforts are unsuccessful. The accounts should be submitted to the agent within thirty (30) days after the third collection letter is sent if the debtor has not responded. The debtor will be notified by letter that the account is being referred to a collection agency and that future correspondence should be with that agency. No additional collection efforts are required for receivables under $25.00 except as provided for under Enrollment and Record Holds (Accounting Policies and Procedures, Section 11.2.1) and Employee Receivables (Accounting Policies and Procedures, Section 11.3). See Accounting Policies and Procedures, Section 11.10 for write-off procedures. 

D. General Counsel Letter 

Receivables over $25.00 should be submitted to the General Counsel if the collection agency's efforts are unsuccessful. The University shall complete the final collection letter with the address, amount owed, etc., on plain white paper and submit to the General Counsel's office along with an address label. These letters will be copied on Board of Regents stationery and mailed to the debtor. 

E. Aging 

All receivables should be aged monthly. 

F. Documentation 

Accurate records of correspondence, telephone calls and personal contacts with borrowers shall be maintained. The University shall comply with record maintenance, safekeeping and retention regulations for federally-funded loans. 

11.3 Employee Receivables 

11.3.1 Procedure for Withholding 

Employee receivables (including student employees) may result from, among other things, traffic and parking fines, library fines, University services or bad checks. In order to recoup the amount owed from the employee's paycheck, notice of intent to withhold must be sent to the employee by registered or certified mail, or personally delivered. The notice should inform the employee of the amount alleged to be owed and should specify that he may elect to pay the debt in full, authorize deductions from his paycheck or, if the employee is terminating, the check for accrued but unused annual leave, or contest the intent to withhold through an institutional or TUAPA hearing. Subsequent to receiving a predeprivation notice of the debt owing, the employee, within fifteen (15) calendar days of receipt of such notice, must: 

A. Pay the debt in full; 

B. Authorize the University to withhold a designated amount from each subsequent paycheck or, if the employee is terminating, from the accrued but unused annual leave until the debt is paid in full; 

C. Elect to contest the intent to withhold through an institutional hearing; or, 

D. Elect to contest the intent to withhold through a contested case hearing held pursuant to the Tennessee Uniform Administrative Procedures Act (TUAPA), T.C.A. 4-5-301, et. seq. 

If the employee elects an institutional hearing, the employee shall appear on behalf of himself but is entitled to be advised by counsel. The Chief Business Officer or a representative, or a representative of the department involved in the debt, shall be present to represent the University. The case will be head before one hearing officer designated to hear all cases on that date. The hearing officer must be an individual who is not so closely connected with the collection of the debt that he/she cannot render and unbiased and objective decision on the validity of the debt. Such hearing should be held within one (1) week of the decision to elect the hearing. The hearing officer shall render his/her decision on the validity of the debt. If the debt is ruled valid, the debt shall be deducted from the employee's payroll check beginning at the end of the next appropriate pay period in accordance with deduction schedules. 

If the employee elects a TUAPA hearing, the Office of General Counsel should be notified immediately. If the employee refuses to pay, authorize deduction, or specify or waive a hearing process, a TUAPA hearing must be initiated. The employee's failure to appear at either an institutional or TUAPA hearing will constitute default, and, if a prima facie case is presented that the debt is owed, it will be deemed valid; the appropriate deductions may then be made. Additionally, if a TUAPA hearing, a Default Order must be issued. If the employee does not appeal the Default Order, funds may be deducted as specified. 

11.3.2 Limitations on Amounts to be Withheld 

The deduction from any check shall not exceed the maximum deductible under state garnishment laws. The maximum amount of disposable earnings of an individual for any work week which is subjected to garnishment may not exceed: (1) Twenty-five percent (25%) of his disposable earnings for that week; (2) or thirty (30) times the federal minimum hourly wage at the time the earnings for any pay period become due and payable, whichever is less. In the case of earnings from any pay period other a week, an equivalent amount shall be in effect. ("Disposable earnings" means that part of the earnings of an individual remaining after the deduction from those earnings of any amounts required by law to be withheld.) These limits are applicable to retirement funds, but are not applicable to checks for accumulated annual leave. 

11.3.3 Retirement Funds 

If a former employee is found to owe a debt to the state, retirement funds may also be utilized to pay off the amount owing. The same procedural steps outlined in Accounting Policies and Procedures, Section 11.3.1 for notice and the opportunity for a hearing must be followed. Accumulated retirement contributions of a former employee terminated for any reason and for which he has made application, or monthly benefits of a retired employee are subject to withholding. A copy of the final order resulting from an institutional or TUAPA hearing, or a signed waiver of hearing and written agreement of the former employee authorizing deductions should be sent to the director of the retirement system along with a written request to withhold, specifying the reason for the claim and the total amount involved. 

11.3.4 Recovery of Overpayments to Employees 

Unlike cases in which the employee owes the University money, in instances of overpayments to employees there is no obligation to provide a hearing. The institution is obligated, however, to attempt to recoup the funds. The method of repayment will depend upon the amount of the overpayment, the time which has elapsed between the overpayment and its discovery, the hardship which immediate repayment might cause the employee because of amount of current salary and personal expenses, the culpability of the employee in not reporting the overpayment and the longevity as well as the expectation that the employee will remain in state government until the repayment is completed. 

If a current employee receives overpayment, the refund may be made in one of the following ways: 

A. Repayment by the employee by cash or check; or, 

B. Adjustment of deductions to be made automatically from the employee's paycheck, either with a single deduction or a series of deductions made from each paycheck until the full amount is recovered. The amount of partial payments recovered by the latter method should be reasonable and systematic so that full recovery will be completed with the shortest period possible. 

If overpayment is discovered after the employee terminates employment with the state, a receivable should be established. The former employee should be notified of the overpayment, the circumstances of the overpayment and a request that the employee contact the appropriate campus official. If the employee has not received his final paycheck, the appropriate deduction from that check can be made. If the final paycheck has been received, negotiations for reimbursement should be initiated. If repayment cannot be negotiated or collected, the account should be turned over to the collection agency. In the event collection is not possible, proper write-off procedures should be followed. 

In instances where the employee has agreed to systematic deduction(s) from his paycheck(s), written authorization from the employee is encouraged. Each campus shall draft forms to document overpayments, the steps taken to recoup same, any negotiated repayment plan, the amounts received and any write-off of the overpayment. 

11.4 Returned Checks 

11.4.1 Enrollment Fees 

Pursuant to the Board Policy on the Payment of Fees and Enrollment of Students (4:01:03:00), if any student tenders payment of fees by a check that is subsequently dishonored by the bank, and the check is not redeemed within the time period specified below, that student shall not be considered enrolled. 

A Termination of Attendance memorandum will be mailed to the student within three (3) working days of receipt from the bank of a dishonored check which has been tendered in payment of fees, requesting payment within ten (10) calendar days. Notice by certified mail is optional. Copies of this memorandum will also be sent to the Office of Extended Education when appropriate. The University will have five (5) working days after the expiration of the ten (10) calendar days to pursue any additional collection efforts deemed necessary. Immediately after the five (5) working days, a Termination of Attendance form will be initiated by the Business Office and the student's enrollment will be deleted if the check has not been redeemed in full. Copies of this form will be sent to the Office of Records and Registration and to the Office of Extended Education when appropriate. Enrollment fees for the current term including returned check fees will be reversed. Extension of the enrollment termination deadline is not permitted except by approval of the University President. 

11.4.2 Other Returned Checks 

Any person other than a student or employee who tenders a check for payment for goods or services which is subsequently dishonored shall be given the opportunity to redeem the check and pay the amount due in cash. The person shall be given notice of the dishonored check, sent certified mail, demanding payment within ten (10) days. Students having returned checks for other than enrollment fees are also issued a notice requesting payment within ten (10) days, however these notices are not certified. 

11.4.3 Collection of Dishonored Checks 

A check presented for payment for any goods or services which is subsequently dishonored and not paid as a result of the notice referenced in Accounting Policies and Procedures, Section 11.4.2 shall be treated as a receivable under Accounting Policies and Procedures, Section 11.2. Any transactions that have been processed should be reversed and any services being provided should be suspended when possible and appropriate. 

11.4.4 Future Check-Writing 

Receipt of one or more bad checks from any person may result in that person becoming ineligible to make payments by check thereafter, or to have any check cashed by the University. A listing of individuals who have written bad checks is maintained and distributed to appropriate departments. Student accounts are coded to control future check-writing privileges. 

11.5 Rent Collections 

These procedures apply to the rental of any property where rent is paid on a monthly basis. Apartment rent is due in advance by the first of each month. Rent not paid by the tenth of each month will be considered delinquent. The tenant will be assessed a $5.00 late payment penalty, and will be sent a certified past due notice indicating that if rent is not paid within thirty (30) days of the notice the lease will be terminated and eviction proceedings will begin. A listing of individuals whose rent is past due is provided to the Housing Office monthly. If payment is not made by the end of the thirty (30) day period, the University will notify the Office of General Counsel for the State Board of Regents and will proceed with actions to evict the tenant. Accrued rents which are unpaid shall be treated as accounts receivable of the University under Accounting Policies and Procedures, Section 11.2 or 11.3 as appropriate. 

11.6 Notes Receivable 

11.6.1 Federal Loans 

A. Federal Regulations 

Collection officers should be certain that they are consulting the most recent legal authorities concerning Federal Loans. These authorities include interpretative materials, issues letters, manuals, Congressional Enactments and Federal Department of Education Regulations. 

B. Pre-Loan Counseling 

Federal regulations require the University to conduct entrance counseling to stress the importance of repayment, describe the consequences of default and emphasize the terms of repayment. An individual with Federal Regulations expertise should be available during and after the session to answer questions. 

C. Exit Interview 

An individual or group exit interview is conducted to discuss the borrower's financial responsibilities and to obtain updated information. Exit interview materials may be sent by certified mail to borrowers who do not attend the exit interview. 

The borrower is provided with a copy of the note and two copies of the repayment schedule. These schedules can be provided either in person or by certified mail. The borrower should promptly sign and return one of the schedules to the University. A minimum payment of $30.00 per month is required for Perkins Loans. 

D. Grace Period Notices 

Contact with the borrower is made during the initial and post-deferment grace periods. 

1. For a nine month grace period, notices to the borrower are required: 

a. 90 days into the grace period providing information which will satisfy the Truth in Lending requirements. 

b. 180 days into the grace period notifying the borrower of the date the grace period expires. 

c. 30 days preceding the due date of the first repayment installment notifying the borrower of the first payment due date and the amount of principal and interest due. 

2. For a six month grace period, similar notices are required 90 days into the grace period and 30 days prior to the first payment due date. 

E. Billings 

A written notice and statement of account is sent 30 days before the first payment is due. Future statements reminding the borrower of subsequent payments are sent 30 days before each payment is due. 

F. Cancellations or Deferments 

The University may postpone loan repayments for a 12-month period if the borrower will be providing services eligible for loan cancellation or deferment. Interest does not accrue and the loan is not considered delinquent when in a deferred status. The borrower must request deferment and cancellation status on an annual basis. If, at the end of the postponement period, the borrower does not qualify for cancellation or deferment, the postponed payments are due. 

G. Late Payment or Delinquent Accounts 

The following billings will be issued when an account becomes past due. Asterisks (*) denote correspondence required by the Federal Register guidelines. 

H. Collection Agency Referral 

All uncollected loan accounts are referred to a collection agency. 

I. Assignment to Office of Education 

Federal loan accounts with an outstanding principal and interest balance greater than $200 that are not paid after the above collection attempts must be assigned to the U. S. Department of Education. 

J. General Counsel Letter 

Federal loan accounts with a total outstanding balance of $200 or less are submitted to the General Counsel for a collection letter. 

K. Low Balance Write-Off 

Federal loan accounts totaling $200 or less that remain unpaid after the General Counsel collection attempt are sent one more billing by the University. If no response is received, these accounts are then written-off. 

L. Federal Loans Not Written Off 

Annual collection efforts should be pursued for Federal loans that are not able to be written off or assigned to the U.S. Department of Education. 

M. Perkins Loans 

The IRS/ED skiptracing service should be used for Perkins Loans. 

11.6.2 University Loans 

A. Billings 

Thirty days preceding the due date of the note, the borrower will be notified by letter of the due date and the amount of principal and interest due. 

B. Late Payments or Delinquent Accounts 

1. If a borrower's payment becomes 30 days past due, he/she will be notified by letter of his/her past due status and requested to make payment. This letter is repeated if the payment becomes 60 days past due. 

2. If a borrower's payment becomes 90 days past due, the borrower and the co-signers will be notified by letter that the account will be referred to a collection agency if payment is not made within 30 days. 

3. At 120 days past due, the account is referred to a collection agency. The borrower and the co-signers are notified of the referral by letter. 

4. General Counsel Letter 

University loan accounts remaining unpaid after the above collection attempts are submitted to the General Counsel for a final collection letter. 

5. Write-Off 

University loan accounts still uncollected are then written-off. 

11.7 Collection Agencies 

11.7.1 General 

The Tennessee Board of Regents shall provide, on a systemwide basis, collection services through one or more companies. The service should provide for the referral of all types of delinquent accounts and notes from the University to the designated company only after campus collection efforts have been exhausted. The terms of the contract and RFP govern all collection actions. Unless otherwise prohibited by law or regulation, any note, contract or lease which may result in accounts receivable to the University should contain a provision pursuant to which the person will be responsible for the costs of collection and reasonable attorneys' fees in the event of default, and should further provide for the assignment of the account or note to the proper agency. 

11.7.2 Billing Services 

The University may use an outside billing service to collect payments on accounts receivable. The service should be familiar with all provisions of loan programs and provide prompt, clear and accurate bills. 

11.7.3 Credit Bureaus 

The University must report all federal loans when made and any federal loans in default to a credit bureau. The University may report all other loans when made to a credit bureau. The University must obtain the borrower's consent to report loans not in default by including a statement in the promissory note or some other document that is signed by the borrower at the time the loan is made. 

11.7.4 Collection Agency 

Accounts that are still delinquent thirty (30) days after the final collection letter should be turned over to a collection agency. Receivables less than $100.00 are not required to be turned over to a collection agency. 

11.7.5 Reporting Requirements 

The collection agency should be required to report the status of delinquent loans periodically to each University and to the Tennessee Board of Regents. 

11.7.6 Revised Repayment Plan 

A revised repayment plan agreement should be signed by the borrower if the borrower returns to repayment status. 

11.7.7 Recalling Accounts From Collection Agency 

No account should be recalled from a collection agency other than debts eligible for deferment, postponement, cancellation, bankruptcy, death, disability or some other mitigating circumstance (institutional error, etc.). No account should be recalled in order for a borrower to re-enroll or obtain a transcript. The borrower should pay the accelerated amount plus collection costs to the collection agency. 

11.8 Litigation 

11.8.1 General 

After all other attempts at collection have failed, the University must authorize litigation of accounts of $500.00 or more providing litigation costs do not exceed the amount which can be recovered. Generally the collection services contract will provide for litigation where appropriate. 

11.8.2 Federal Loans 

If a Federal loan cannot be litigated for any of the following reasons, it should be assigned to the U.S. Department of Education: (1) Borrower has no assets, (2) Address unknown, (3) Debtor is incarcerated, (4) Debtor is on Public Assistance, (5) Unable to serve borrower with court papers, (6) Litigation is in process and debtor skips, (7) Expected cost of litigation exceeds amount to be recovered from borrower. 

11.9 Bankruptcy 

11.9.1 General Information 

Once notice of, or a petition for, bankruptcy is received, all collection efforts against the debtor must cease immediately. If the account is at a collection agency, the file must be returned to the University immediately. All new cases should be referred directly to the Attorney General's office with the appropriate referral form and pertinent documentation forwarded to that office. In any situation where the debt is not discharged, any interest which accrued during suspension of collection may be added to the amount to be collected. 

NOTE: Effective for actions filed on or after 5-28-91, the period during which an educational loan may not generally be discharged will increase from five (5) years to seven (7) years. This period is calculated from the date the loan first came due to the date the bankruptcy action was filed, exclusive of periods during which repayment obligations are suspended. Additionally, obligations to repay an "overpayment" of, or any other obligation to repay an "educational benefit" provided by a governmental unit or under a program funded by a government unit or non- profit institution will be excepted from discharge during the same seven-year period under either Chapter 7 or 13 unless the borrower establishes that repayment constitutes undue hardship. 

11.9.2 Chapter 7 (Liquidation) 

Upon receiving any notice of the filing of a petition, all collection efforts against the debtor must be suspended immediately until the bankruptcy has been discharged. Collection efforts may continue against an endorser. A proof of claim should be timely filed by the Attorney General's Office unless the notice states "No Assets." 

A. Educational loans 

If the date of bankruptcy filing is after the expiration of the exception period, the loan should be written off once the notice of discharge is received unless there is some other basis upon which to challenge dischargeability. However, if there is an endorser, collection efforts may proceed against him/her. 

If the date of bankruptcy filing is before the expiration of the exception period, collection activity may be reinstated once the notice of discharge is received due to the self-executing nature of the exception unless the debtor has been able to establish dischargeability of the debt through an adversarial proceeding. 

If the University is served with a summons and a complaint to determine dischargeability based on undue hardship, a calculation should be made as to whether the costs to discharge exceed one-third of the amount that would be lost by discharge. The action should not be opposed if the costs exceed one-third the amount lost by discharge, or undue hardship can be shown. The action should be opposed if the costs do not exceed one-third of the amount lost by discharge and undue hardship cannot be shown. Contact the office of General Counsel for issues involving the determination of undue hardship. 

B. Other debts 

When the notice states "No assets", unless the University is a secured creditor (in which case a proof of claim must be filed), the debt must be written off once the notice of discharge is received. 

11.9.3 Chapter 13 (Reorganization) 

A. Educational Loans

NOTE: For petitions filed on or after 11-5-90, an educational loan is nondischargeable if the loan first became due within five (5) years calculated from the date the loan first came due to the date the bankruptcy action was filed, exclusive of periods during which repayment obligations are suspended. Effective for bankruptcies filed on or after 5-28-91, that same five (5) year period will be increased to seven (7) years. See NOTE with Accounting Policies and Procedures, Section 11.9.1 above for further details. 

Regardless of the date of filing or the nature of the debt owing, upon receiving any notice of the filing of a petition, all collection efforts against the debtor and endorser must cease immediately. A proof of claim must be filed in all cases by the Attorney General's Office. 

If filed after 5-28-91: 

Determine if the educational loan falls within the exception period of seven (7) years, thus rendering the amount nondischargeable. If so, the plan need not be opposed. File a proof of claim. If the debt is nondischargeable, you may want to add the following on the bottom of the form: "We consider this debt to be nondischargeable". Upon discharge and dismissal, collection activities may be reinstated. If the exception period applies and the debtor serves the University with a summons and complaint to determine dischargeability based on undue hardship, a calculation should be made as to whether the costs to discharge exceed one-third the amount that would be lost by discharge. The action should not be opposed if the costs exceed one-third the amount lost by discharge, or undue hardship can be shown. The action should be opposed if the costs do not exceed one-third of the amount lost by discharge and undue hardship cannot be shown. Contact the Office of General Counsel for issues involving the determination of undue hardship. If the exception does not apply, the same guidelines should be used to determine whether to oppose the proposed plan. 

B. Other debts: 

A proof of claim must be filed and the proposed plan reviewed. Once the bankruptcy is discharged, the debt should be written off. 

11.10 Write-Offs 

11.10.1 Authority 

The Tennessee Board of Regents and its institutions/schools are authorized to write off uncollectible receivables pursuant to policies outlined in Chapter 0620-1-9 of the rules of the Department of Finance and Administration. Receivables submitted for write-off must have been subjected to appropriate collection efforts in accordance with this guideline and University procedures. 

11.10.2 Reserve 

A reserve for doubtful accounts should be established for activities where accounts receivable represent a material amount to the activity income. The reserve should be reported in the financial records of the University. Receivables which prove to be uncollectible after prescribed collection efforts have been exhausted should be written off by a charge to the reserve for doubtful accounts after appropriate approvals are obtained. 

11.10.3 Approval 

The proposed write-offs must be approved by University officials not directly involved in recording and collection of accounts receivable. The University president and chief business officer should certify compliance with the prescribed statue and collection guidelines. The write-off request summary and certification, along with a detailed list of the accounts, should be submitted to the Chancellor's office for approval. The write-off request must be approved by the Chancellor and General Counsel and forwarded by the Tennessee Board of Regents for approval by the Commissioner of Finance and Administration and the Comptroller of the Treasury. The Tennessee Board of Regents will send approved write-offs to the University for the appropriate accounting. 

11.10.4 State/Tennessee Board of Regents Employees 

Accounts in the amount of $50.00 or more which are submitted for write-off must also be summarized on computer disk and submitted to the Tennessee Board of Regents. The Board will then forward the computer disk to the Department of Finance and Administration for review and checking against the State payroll. 

Any debtors identified by the Tennessee Board of Regents or State as employees with debts $50.00 and above will not be approved for write-off. Information on the employing institution/school or agency will be returned to the University for additional collection efforts. 

If the debtor is a state employee, the Chief Business Officer of the department employing the debtor should be notified. The department employing the individual will be responsible for taking the appropriate action to collect the debt. If the department is unsuccessful in collecting the debt, written notification will be sent to the University. The written notification shall be submitted with the next write-off request for approval. 

If the debtor works for another Tennessee Board of Regents institution/school, the Chief Business Officer of the employing institution/school should be notified and will be responsible for collecting the debts utilizing the steps in the Accounting Policies and Procedures, Section 11.3. Written notification should be sent to the requesting University if collection efforts are unsuccessful. The written notification shall be submitted with the next write-off request for approval. The institution/school may agree to payment through payroll deductions if the employee signs a payroll deduction authorization. 

11.10.5 Former Tennessee Board of Regents Employees 

If a debt or obligation was incurred while a Tennessee Board of Regents employee, the debt constitutes an account receivable; refer to the Accounting Policies and Procedures, Section 11.2. 

11.10.6 Holds on Written Off Receivables 

A hold on transcripts and future registration will continue until the debt is cleared for former students whose receivables were written off if the debt was twenty-five ($25.00) dollars or more.

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