Item Coversheet
Meeting Date:
7/20/2021
Staff Contact:

Kim Quin

Finance Director


 
Agenda Items:

(4)(b)
E-mail:
kquin@saginawtx.org
  Phone:817-230-0332

SUBJECT:
Action regarding the findings and agreement for delinquent tax collection services with Linebarger, Goggan, Blair & Sampson, LLP and Resolution No. 2021-17 adopting a 20% collection fee. 


BACKGROUND/DISCUSSION:

After having provided adequate notice as required by Sec. 2254.1036 of the Texas Government Code;

 

After exercising its due diligence The City of Saginaw, Texas ("City") finds that:

1.  There is substantial need for the legal services to be provided pursuant to the Agreement for Delinquent Tx Collection Services;

2.  These legal services cannot be adequately performed by the attorneys and supporting personnel of the City at a reasonable cost;

3.  These legal services cannot reasonably be obtained from attorneys in private practice under a contract providing only for the payment of hourly fees, without regard to the outcome of the matter, because of the nature of delinquent tax penalties provided by Texas Tax Code Sections 6.30, 33.07, 33.08, 33.11, and 33.48 and because the City does not have the funds to pay the estimated amounts required under a contract for the payment of hourly fees;

4.  Linebarger, Goggan, Blair & Sampson, LLP, is well qualified and competent to perform the legal services required to comply with the terms of this contract;

5.  Linebarger, Goggan, Blair & Sampson, LLP has provided these specialized legal services to the many nearby municipalities for the past 39 years and the entities have been well satisfied with the quality and outcome of the legal services provided.

6.  The contract with Linebarger, Goggan, Blair & Sampson, LLP is the result of an arm's length transaction between the City and Linebarger, Goggan, Blair & Sampson, LLP and is fair and reasonable.

 

Linebarger, Goggan, Blair & Sampson, LLP has collected the City of Saginaw's delinquent court fines and fees since 2016 and collects delinquent taxes for Tarrant County and many other cities in the area.



FINANCIAL IMPACT:
There is an anticipated higher collection rate for delinquent taxes.  The collection fee is paid by the delinquent tax payer and there will be no cost to the City.

RECOMMENDATION:
Approve the findings, the agreement for delinquent tax collection services with Linebarger, Goggan, Blair & Sampson, LLP and Resolution No. 2021-17 adopting a 20% collection fee. 
ATTACHMENTS:
Description
Public Notice
Resolution Delinquent Properties Tax Collection
Delinquent Property Tax Collection Agreement