City Council sticks with debt collector after breach

CHATTANOOGA, Tenn. (WDEF)- The data breach that has affected both Hamilton County Government and the city of Chattanooga was briefly discussed during Tuesday night’s City Council meeting.
Mayor Tim Kelly’s office said they first learned of a breach late Friday afternoon, as a letter sent to the city two months prior was not communicated to them.

The breach concerned personal information held by National Recovery Services, who collects outstanding debts.

Hamilton County was also affected, leading to a back and forth debate over communication issues in that breach.

The City Council decided to extend their contract with the debt collector despite the breach.

City Councilman Darrin Ledford asked, “I just want to confirm under Chapter 35 of the renewal contract under debt recovery that we have contractual protections, Phil.”

City Attorney Phil Noblett responded, “Yes sir. Under Section 35 of our current contract we have data breach protection and NRS is required to immediately notify the city of any discovered data breach of information and to notify the customers as well. They are also required to provide credit protection if financial data has been compromised.”

Both the city and county are required to notify potential victims of the breach within 60 days of being notified themselves.