Program helps counties collect unpaid debts

Counties and county entities participating in the North Carolina Debt Setoff Program realized another banner year in 2010, matching almost $18.86 million in debts owed – an increase of more than $2.6 million from 2009. Ninety-three counties and 23 county entities – including health, sanitation and public utility authorities – participated in the program and set off 105,224 debts.

Through a debt setoff joint clearinghouse, local governments may submit any outstanding delinquent debt (totaling $50 or more) to the N.C. Department of Revenue to attempt to offset delinquent debts against individual income tax refunds and N.C. Education Lottery winnings.

For the second consecutive year, Mecklenburg EMS led the way in total debts set off with $2,227,818. Two counties – Mecklenburg ($1,976,723) and Gaston ($1,547,947) – eclipsed the $1 million mark in amount of debt set off. It was the first time since 2004 that Gaston failed to top all counties in the setoff rankings.