OUTSOURCING OR SELLING COUNTY DEBT

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

Miami-Dade County Board of County Commissioners accepted a report on the feasibility of outsourcing or selling county debt. The report, introduced on 6/15/2026 and accepted on 7/21/2026, analyzed outstanding county debt as of July 29, 2025. The County Mayor's office recommended considering the sale of a portion of the outstanding debt portfolio to generate cash flow, specifically identifying approximately $41 million (8%) of the total $525 million outstanding debt as potentially suitable for sale to third-party collection agencies or receivables buyers. The report noted that the majority of the debt (92%) is not recommended for sale due to compliance requirements, data privacy concerns (HIPAA), and the desire to maintain personal assistance for constituents. The County has prior experience with outside collection agencies, listing several firms from a 2003 Request for Approval. Legal analysis indicates Florida law permits the assignment of code enforcement liens, but recommends retaining control and the ability to recall assignments. The report also discusses potential exposure to the Fair Debt Collection Practices Act (FDCPA) and Florida Consumer Collection Practices Act (FCCPA) if debt is assigned to private collectors. The sale of receivables could affect departmental budgets and funding streams for processes like hearing officers. The report concluded that while selling debt may provide short-term cash flow, it would sever access to data, reduce internal flexibility, and potentially impact constituent support.