Collins has put pen to paper on a one-year deal at Glanford Park to end speculation that he could be leaving following the Iron's relegation to npower League Two.
The 30-year-old has been hampered by injury since joining the club for an undisclosed fee in 2010, missing all but three games of the 2011/12 season and the first three months of the last campaign due to Achilles-related tendinopathy.
"I missed a lot of football and I felt that I needed to repay the club for the faith they showed in me during that time," Collins told the club's official website.
"I'm delighted that I've signed and now it's all about concentrating on the new season.
"I'm hoping it's the start of a new era for the club and I want to be a part of that.
"If I have to step forward this season and be a leader then I have no problems with that whatsoever."
Collins added he felt manager Brian Laws was the right man to lead the club back to League One at the first attempt.
"I have a lot of respect for the manager and his staff and I certainly feel that we have the right man in charge," he said.
"I wouldn't be signing if I didn't think we could get promoted. It's going to be very difficult but I'm confident we can do it."