R-02-01-24-9B1 - 1/24/2002AT T: •
RESOLUTION NO. R 02 01 24 - 9B1
WHEREAS, the City of Round Rock desires to retain professional
services for the collection of delinquent property taxes, and
WHEREAS, Linebarger Goggan Blair Pena & Sampson, LLP has
submitted a Contract for the Collection of Delinquent Taxes to provide
said services, and
WHEREAS, the City Council desires to enter into said Contract
with Linebarger Goggan Blair Pena & Sampson, LLP, Now Therefore
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS,
That the Mayor is hereby authorized and directed to execute on
behalf of the City a Contract for the Collection of Delinquent Taxes
with Linebarger Goggan Blair Pena & Sampson, LLP, a copy of said
Contract being attached hereto as Exhibit "A" and incorporated herein
for all purposes.
The City Council hereby finds and declares that written notice of
the date, hour, place and subject of the meeting at which this Resolution
was adopted was posted and that such meeting was open to the public as
required by law at all times during which this Resolution and the subject
matter hereof were discussed, considered and formally acted upon, all as
required by the Open Meetings Act, Chapter 551, Texas Government Code.
RESOLVED this 24th day of Ja
OP A
' 02.
Arlf
R030: . 5 LUKA, JR . , v Mayor
City of Round Rock, Texas
CHRISTINE R. MARTINEZ, City Secr ary
., ODMA\ WORLDOX\ O : \WDOX \RRSOLUTI \R3012491.WPD/ec
THE STATE OF TEXAS
COUNTY OF WILIAMSON
CONTRACT FOR THE COLLECTION OF DELINQUENT TAXES
THIS CONTRACT is made and entered into by and between the CITY OF ROUND ROCK,
acting herein by and through its governing body, hereinafter styled First Party, and the law firm of
LINEBARGER GOGGAN BLAIR PENA & SAMPSON, LLP, whose address is 1949 South I. H. 35,
Austin, Texas 78741, hereinafter styled Second Party.
First Party agrees to employ and does hereby employ Second Party to enforce by suit or
otherwise the collection of taxes, and penalty and interest accrued on those taxes, owing to First Party and
all other taxing jurisdictions whose taxes are collected by First Party, as provided herein below. Taxes
shall become subject to the terms of this Contract upon the following dates, whichever first occurs: (1) on
February 1 of the year in which the taxes become delinquent if a previously filed tax suit is then pending
against the property subject to the tax; (2) on the date any lawsuit is filed with respect to recovery of the
tax; (3) on the date of filing any application for tax warrant where recovery of the tax or estimated tax is
sought and where the filing of an application for tax warrant by Second Party is at the request of First
Party's Tax Assessor- Collector; (4) on the date of filing any claim in bankruptcy where recovery of the
tax is sought; or (5) on July 1 of the year in which the taxes become delinquent.
II
Second Party is to call to the attention of the collector or other officials any errors, double
assessments or other discrepancies coming under its observation during the progress of the work, and is to
intervene on behalf of First Party in all suits for taxes hereafter filed by any taxing unit on property
located within its corporate limits.
III
First Party agrees to pay to Second Party as compensation for the services required hereunder
fifteen (15 %) percent of the amount of all taxes, penalty and interest subject to the terms of this contract
as set forth in Paragraph I above, collected by the Second Party and paid to the collector of taxes during
the term of this contract, as and when collected. All compensation above provided for shall become the
property of Second Party at the time payment of the taxes, penalty and interest is made to the collector.
The collector shall pay over said funds monthly by check.
IV
In those cases where collection of taxes are enforced by suit, First Party agrees to furnish to
Second Party the name, identity, and location of necessary parties, together with legal descriptions of
property on which the taxes are due. Second Party shall, however, advance all charges and expenses on
behalf of First Party, which are incurred in procuring such information. Any recovery of such expenses
EXHIBIT
1 „A,.
by First Party under TEX. TAX CODE ANN. § 33.48 shall be paid over to Second Party as and when
collected.
CITY OF ROUND ROCK
First Party
By
Robert A. Stluka, Jr., Mayor
By �/�uG
For the Firm
V
This contract is drawn to cover a period of three (3) years beginning January 1, 2002 and ending
December 31, 2004. first Party shall have the option, exercisable at any time that this contract is in force,
to renew and extend this contract on its identical terms for two (2) additional three (3) year increments
commencing January 1, 2005 and January 1, 2008. In the event that no action shall be taken by First
Party to renew and extend this contract prior to the end of any term, the contract shall thereafter continue
on a month -to -month basis. Either party may terminate this contract at the end of the initial contract term
or thereafter by giving the other party thirty (30) days advance notice of termination in writing. During
the term of the contract, First Party shall have the right to terminate this contract following any finding by
First Party that Second Party's performance of its obligations under this contract has been unsatisfactory
in material respects; provided however, that First Party shall grant Second Party 30 days from the date of
written notice of such violation to attempt to cure such; provided further however, that Second Party shall
report to First Party at least weekly regarding all remedial action taken by Second Party. At the end of
this 30 -day period, First Party shall be entitled to consider the reports of remedial activity undertaken by
Second Party, and thereafter to determine whether Second Party has remedied the . unsatisfactory
performance. Should Second Party be found not to have remedied the unsatisfactory performance to the
satisfaction of First Party, First Party may terminate the contract based on the finding of just cause. In the
case of such termination, Second Party shall be entitled to receive and retain all compensation due up to
the date of said termination. Second Party shall have six (6) months following termination of the contract
to reduce to judgment all suits filed prior thereto. In consideration of the terms and compensation herein
stated, Second Party hereby accepts said employment and undertakes the performance of said contract as
above written.
This contract is executed on behalf of First Party by the presiding officer of its governing body
who is authorized to execute this instrument by order heretofore passed and duly recorded in its minutes.
WITNESS the signatures of all parties hereto in duplicate originals this the day of
, 20� Williamson County, Texas.
LINEBARGER GOGGAN BLAIR PENA & SAMPSON, LLP
Second Party
DATE: January 17, 2002
SUBJECT: City Council Meeting — January 24, 2002
ITEM: 9.B.1. Consider a resolution authorizing the Mayor to enter an agreement
with the law firm of Linebarger, Goggan, Blair, Pena and
Sampson, LLP for the collection of delinquent property taxes.
Resource: David Katuz, Finance Director
History: The contract employs the law firm to enforce by suit or otherwise the
collection of all delinquent taxes, penalty and interest on behalf of the City.
The current contract with the firm has recently expired and this agreement is
for a three years term. A 15% collection fee added to the delinquent tax
accounts funds the collection process.
Funding:
Cost: 15% of the tax amounts due
Source of funds: delinquent tax payers
Outside Resources: Tax Assessor /Collector (RRISD)
Impact/Benefit: Efficient, timely collection of delinquent property taxes provides funding
for City operations and debt service and provides assurance to all
taxpayers that the collection process is sound.
Public Comment: N/A
Sponsor: N/A
THE STATE OF TEXAS
COUNTY OF WILIAMSON
CONTRACT FOR THE COLLECTION OF DELINQUENT TAXES
THIS CONTRACT is made and entered into by and between the CITY OF ROUND ROCK,
acting herein by and through its governing body, hereinafter styled First Party, and the law firm of
LINEBARGER GOGGAN BLAIR PEA & SAMPSON, LLP, whose address is 1949 South I. H. 35,
Austin, Texas 78741, hereinafter styled Second Party.
First Party agrees to employ and does hereby employ Second Party to enforce by suit or
otherwise the collection of taxes, and penalty and interest accrued on those taxes, owing to First Party and
all other taxing jurisdictions whose taxes are collected by First Party, as provided herein below. Taxes
shall become subject to the terms of this Contract upon the following dates, whichever first occurs: (1) on
February 1 of the year in which the taxes become delinquent if a previously filed tax suit is then pending
against the property subject to the tax; (2) on the date any lawsuit is filed with respect to recovery of the
tax; (3) on the date of filing any application for tax warrant where recovery of the tax or estimated tax is
sought and where the filing of an application for tax warrant by Second Party is at the request of First
Party's Tax Assessor - Collector; (4) on the date of filing any claim in bankruptcy where recovery of the
tax is sought; or (5) on July 1 of the year in which the taxes become delinquent.
II
ORIGINAL
Second Party is to call to the attention of the collector or other officials any errors, double
assessments or other discrepancies coming under its observation during the progress of the work, and is to
intervene on behalf of First Party in all suits for taxes hereafter filed by any taxing unit on property
located within its corporate limits.
III
First Party agrees to pay to Second Party as compensation for the services required hereunder
fifteen (15 %) percent of the amount of all taxes, penalty and interest subject to the terms of this contract
as set forth in Paragraph I above, collected by the Second Party and paid to the collector of taxes during
the term of this contract, as and when collected. All compensation above provided for shall become the
property of Second Party at the time payment of the taxes, penalty and interest is made to the collector.
The collector shall pay over said funds monthly by check.
IV
In those cases where collection of taxes are enforced by suit, First Party agrees to furnish to
Second Party the name, identity, and location of necessary parties, together with legal descriptions of
property on which the taxes are due. Second Party shall, however, advance all charges and expenses on
behalf of First Party, which are incurred in procuring such information. Any recovery of such expenses
by First Party under TEX. TAX CODE ANN. § 33.48 shall be paid over to Second Party as and when
collected.
This contract is drawn to cover a period of three (3) years beginning January 1, 2002 and ending
December 31, 2004. first Party shall have the option, exercisable at any time that this contract is in force,
to renew and extend this contract on its identical terms for two (2) additional three (3) year increments
commencing January 1, 2005 and January 1, 2008. In the event that no action shall be taken by First
Party to renew and extend this contract prior to the end of any term, the contract shall thereafter continue
on a month -to -month basis. Either party may terminate this contract at the end of the initial contract term
or thereafter by giving the other party thirty (30) days advance notice of termination in writing. During
the tern of the contract, First Party shall have the right to terminate this contract following any finding by
First Party that Second Party's performance of its obligations under this contract has been unsatisfactory
in material respects; provided however, that First Party shall grant Second Party 30 days from the date of
written notice of such violation to attempt to cure such; provided further however, that Second Party shall
report to First Party at least weekly regarding all remedial action taken by Second Party. At the end of
this 30 -day period, First Party shall be entitled to consider the reports of remedial activity undertaken by
Second Party, and thereafter to determine whether Second Party has remedied the unsatisfactory
performance. Should Second Party be found not to have remedied the unsatisfactory performance to the
satisfaction of First Party, First Party may terminate the contract based on the finding of just cause. In the
case of such termination, Second Party shall be entitled to receive and retain all compensation due up to
the date of said termination. Second Party shall have six (6) months following termination of the contract
to reduce to judgment all suits filed prior thereto. In consideration of the terms and compensation herein
stated, Second Party hereby accepts said employment and undertakes the performance of said contract as
above written.
This contract is executed on behalf of First Party by the presiding officer of its governing body
who is authorized to execute this instrument by order heretofore passed and duly recorded in its minutes.
WITNESS the signatures of all parties hereto in duplicate originals this the Q'1 day of
, 20 Dad, Williamson County, Texas.
CITY OF ROUND ROCK
First P
oihy
. Ro Stluka, Jr., Mayor '
By �c
For the Firm
V
LINEBARGER GOGGAN BLAIR PEA & SAMPSON, LLP
Second Party
Mayor
Robert A. Stluka, Jr
Mayor Pro -tem
Torn Nielson
Council Members
Alan McGraw
Carrie Pitt
Earl Palmer
Isabel Gallahan
Gary Coe
City Manager
Robert Bennett, Jr.
City Attorney
Stephan L Sheets
CITY OF ROUND ROCK
January 30, 2002
Mr. Brian E. Brown
Linebarger Goggan Blair Pena & Sampson, LLP
1949 South IH -35
Austin, TX 78741
Dear Mr. Brown:
221 East Main Street
Round Rock Texas 78664
512 -218 -5400
The Round Rock City Council approved Resolution No. R- 02- 01- 24 -9B1 at their
regularly scheduled meeting on January 24, 2002. This resolution approves the contract
for the collection of delinquent taxes.
Enclosed is a copy of the resolution and original contract for your files. If you have any
questions, please do not hesitate to contact David Kautz at 218 -5430.
erely,
MIWi&at
Christine R. Martinez
City Secretary
Enclosure
Fax: 512- 218 -7097
1 -800- 735 -2989 TDD 1- 800 - 735 -2988 Voice
www.ci.round- rock.tx. us