Res 055-2003 5/6/2003RESOLUTION NO. JS X 03
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF' WICHITA
FALLS, TEXAS, AUTHORIZING THE CITY MANAGER TO SIGN AN
AMENDED CONTRACT WITH PERDUE, BRANDON, FIELDER,
COLLINS & MOTT, L.L.P. FOR COLLECTION OF DELINQUENT
PROPERTY TAX ACCOUNTS; FINDING AND DETERMINING THAT
THE MEETING AT WHICH THIS RESOLUTION WAS PASSED WAS
OPEN TO THE PUBLIC AS REQUIRED BY LAW.
WHEREAS, the City has contracted with Perdue, Brandon, Fielder, Collins &
Mott, L.L.P., since 1983 for collection of delinquent property taxes owed to the City;
and,
WHEREAS, the fee for these collection services has remained at 15% of all
delinquent taxes, penalties and interest collected since the inception of this contract;
and,
WHEREAS, in the 2001 Legislative Session, the Legislature amended the Tax
Code to increase the attorney's fee that can be passed along to the delinquent taxpayer
from 15% to 20 %; and,
WHEREAS, the City Council desire to amend the contract with Perdue, Brandon,
Fielder, Collins & Mott to allow for an increase in the attorney's fee provided for in this
contract.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF WICHITA FALLS, TEXAS, THAT:
S ECTION 1 . The City Manager is hereby authorized to sign an amended
contract with Perdue, Brandon, Fielder, Collins & Mott, L. L. P. to increase the
attorney's fee provided for in this contract to — 2Q_ % of all taxes, penalties and interest
collected for the City of Wichita Falls for tax year "2002 and subsequent years.
S ECTION 2 . It is hereby officially found and determined that the meeting at
which this resolution was passed was open to the public as required by law.
PASSED AND APPROVED this the 6th day of May, 2003.
1A.1, , 1,&A k • t&iV�
MAYOR
ATTEST:
I�
City Clerk
CONTRACT FOR THE COLLECTION
OF DELINQUENT TAXES
THE STATE OF TEXAS §
COUNTY OF WICHITA §
THIS CONTRACT is made and entered into by and between the CITY OF WICHITA
FALLS, a political subdivision of the State of Texas, acting by and through its governing body,
hereinafter called Taxing Authority, and PERDUE, BRANDON, FIELDER, COLLINS &
MOTT, L.L.P., Attorneys at Law, Wichita Falls, Texas, or their duly authorized representatives,
hereinafter called the Firm.
I.
Taxing Authority agrees to employ and does hereby employ the Firm to enforce by suit or
otherwise the collection of all delinquent taxes, penalty and interest owing to the taxing units for
which Taxing Authority collects and which the Taxing Authority's Tax Collector refers to the
Firm, provided current years taxes becoming delinquent within the period of this Contract shall
become subject to its terms upon the following conditions:
A. Taxes that become delinquent during the term of this Contract that are not delinquent
for any prior year become subject to the terms of this Contract on the l st day of July, of the year
in which they become delinquent; and
B. Taxes that become delinquent during the term of this Contract on property that is
delinquent for prior years shall become subject to its terms on the first day of delinquency.
C. Taxing Authority reserves the right to make the final decision as to whether or not to
enforce by suit any delinquent tax account turned over to the Firm for collection.
II.
The Firm is to call to the attention of the collector or other officials any errors, double
assessments or other discrepancies coming under their observation during the progress of the
work and is to intervene on behalf of the Taxing Authority in all suits for taxes hereafter filed by
any taxing unit on property located within its taxing jurisdiction.
III.
The Firm agrees to make progress reports to the Taxing Authority on request, and to
advise the Taxing Authority of all cases where investigation reveals taxpayers to be financially
unable to pay their delinquent taxes.
IV.
Taxing Authority agrees to pay the Firm as compensation for services rendered
hereunder, the percentages set forth below, of the total amount of all delinquent taxes, penalty
and interest which are subject to this contract and which are actually collected and paid to the
Taxing Authority's Collector of Taxes, when an equal amount of penalty under Texas Property
Tax Code §§ 33.07 or 33.08 is recovered from the taxpayer. Other taxes, including current taxes,
which are turned over to the Firm by the Taxing Authority's Tax Assessor - Collector because of
the necessity of filing claims in Bankruptcy, with other Federal authorities, or for other reasons,
shall become subject to the terms of this contract at the time they are turned over to the Firm and
the Firm shall be entitled to the appropriate percentage, as set forth below, of any amounts of
delinquent taxes, penalties, and interest actually received by the Taxing Authority, and also the
appropriate percentage, as set forth below, of current taxes actually received by the Taxing
Authority when such percentage is actually recovered from the taxpayer, if collected prior to July
1 of any tax year, upon order of the Court. The Collector of Taxes shall pay over said
compensation to the Firm monthly by check.
Compensation Amounts
• 15% of the taxes, penalties, and interest for tax years 2001 and prior years
• _% of the taxes, penalties, and interest for tax year 2002 and subsequent years
kv
Taxing Authority agrees to furnish to the Firm all data and information as to the name
and address of the taxpayer, the legal description of the property, years and amount of taxes due.
Taxing Authority further agrees to update said information by furnishing a list of paid accounts
and adjustments to the Tax Roll as necessary.
VI.
This Contract shall commence on May , 2003, and end when both parties mutually
agree. However, either party to this agreement shall have the right to terminate this agreement by
giving the other party thirty (30) days written notice of their desire and intention to terminate this
agreement. The Firm shall have an additional six (6) months to reduce to judgment or otherwise
collect all accounts on which a tax suit was filed prior to the date this agreement becomes
terminated and be compensated as herein provided for suits collected within such six month
period.
In consideration of the terms and compensation here stated, the Firm hereby accepts said
employment and undertakes the performance of this Contract as above written.
WITNESS the signatures of all parties hereto in duplicate originals this the _ day of
May, 2003.
ATTEST:
City Clerk
PERDUE, BRANDON, FIELDER,
COLLINS & MOTT, L.L.P.
Attorneys at Law
P.O. Box 8188
Wichita Falls, Texas 76307 -8188
(940) 723 -4323
By:
Harold Lerew
CITY OF WICHITA FALLS
James Berzina
City Manager