OUTSOURCING OR SELLING COUNTY DEBT

Board of County Commissioners · 2026-07-21 · report

Miami-Dade County is considering the feasibility of outsourcing or selling a portion of its outstanding debt, specifically identifying approximately $41 million gross (8%) of the total $525 million outstanding debt as potentially suitable for sale to third-party collection agencies or receivables buyers. The report, initiated by Resolution R-785-25, analyzes the types of debt, potential buyers, and financial implications. The County's Internal Compliance Department (CCS) recommends selling only a portion of the debt to generate cash flow, with specific criteria to minimize risk. Debts with compliance components, such as citations that require further action to absolve the account, and those involving sensitive data (HIPAA) or requiring personal assistance to constituents, are not recommended for sale. The report notes that selling debt could lead to legal risks under the Fair Debt Collection Practices Act (FDCPA) and impact funding streams for departments. The County has prior experience with outside collection agencies, listing several firms that have previously been awarded contracts. The report is scheduled for presentation to the Board of County Commissioners.