Item Coversheet

CITY COUNCIL AGENDA COMMUNICATION
AGENDA DATE:September 24, 2019
SUBJECT:

Adopt a Resolution Approving an Agreement with Linebarger Goggan Blair & Sampson, LLP for the Collection of Delinquent Taxes.

STAFF RESOURCE:

Eric Cannon, Chief Financial Officer

PREVIOUS COUNCIL ACTION:

September 27, 2005, the City Council authorized the City Manager to execute a contract with David McCall of Gay, McCall, Isaacks, Gordon, May & Roberts, P.C. for the collection of delinquent property taxes.

 

February 13, 2007, the City Council approved Resolution No. 2591-2-07(R) authorizing the City Manager to execute an amendment to the contract with David McCall of Gay, McCall, Isaacks, Gordon, May & Roberts, P.C. for the collection of delinquent  property taxes.

ACTION PROPOSED:

Adopt a Resolution Approving an Agreement with Linebarger Goggan Blair & Sampson, LLP for the Collection of Delinquent Taxes.




BACKGROUND

Linebarger, Goggan, Blair & Sampson, LLP have a strong reputation for their expertise, community involvement and client engagement. The City will partner with Linebarger, Goggan, Blair & Sampson, LLP to collect delinquent property taxes for the City. The County Tax Assessor-Collector, Kenneth Maun, sends the delinquent tax report to Linebarger, Goggan, Blair & Sampson, LLP, for collection and legal action. In some cases, a bankruptcy claim is involved relating to the delinquent property taxes.

 

State law authorizes compensation for delinquent property tax collections to be 15% of the taxes penalty and interest actually collected for 2004 and prior years and 20% for 2005 and subsequent years.

 

The attached contract indicates that Linebarger, Goggan, Blair & Sampson, LLP will enforce by suit or otherwise the collection of all delinquent taxes, penalties and interest owing to the City that have been referred by the County Tax Assessor-Collector.

 

The attached Resolution and Notice of Public Meeting are required by State Law when entering into certain contingent fee contracts such as this delinquent tax collection contract. 


BUDGETARY IMPACT

The contract presented allows for payment of services in the form of a percentage of penalties and interest actually collected each year, so there is no budgetary expenditure.   


STAFF RECOMMENDATION

Staff recommends that the City Council adopt a Resolution approving an agreement with Linebarger Goggan Blair & Sampson, LLP for the collection of delinquent taxes.


MOTION

I make a motion to adopt Resolution No. __________ approving an agreement with Linebarger Goggan Blair & Sampson, LLP for the collection of delinquent taxes.



ATTACHMENTS:
Description
Resolution
Contract
Notice of Public Meeting