Laserfiche WebLink
RESOLUTION NO. <br />A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PARIS, TEXAS, TO <br />ENTER INTO A CONTINGENT FEE CONTRACT WITH ABERNATHY, <br />ROEDER, BOYD & HULLETT, PC PURSUANT TO THE TEXAS TAX CODE, <br />SECTION 6.30 AND GOVERNMENT CODE 2254.1036 FOR THE <br />COLLECTION OF DELINQUENT TAXES OWED TO THE CITY OF PARIS, <br />TEXAS; MAKING OTHER FINDINGS AND PROVISIONS AND DECLARING <br />AN EFFECTIVE DATE. <br />WHEREAS, the City Council of the City of Paris, Texas ("City') wishes to enter into a <br />contingent fee contract with the law firm of Abernathy, Roeder, Boyd & Hullett, P.C. <br />("Firm") pursuant to the Texas Tax Code, Section 6.30, and Government Code 2254.1036 <br />for the collection of delinquent taxes owed to the City of Paris, Texas; and <br />WHEREAS, the City is pursuing a renewal of its contract with the Firm for the <br />collection of delinquent property taxes owed to the City and through this contract the City <br />seeks to increase recovery of its delinquent debts in the most effective and efficient <br />manner. The desired outcome is the efficient collection of delinquent property taxes, <br />penalties, and interest. GOVT. CODE § 2254.1036(1)(A); and <br />WHEREAS, the City believes the Firm has the qualifications, competency, and <br />experience necessary to fulfill the contract. GOVT. CODE § 2254.1036(1)(B). The Firm and <br />its predecessors have collected delinquent government receivables for nearly 40 years. The <br />Firm is local, with its principal office in McKinney, Texas. It employs more than 50 <br />individuals, including 19 attorneys. Its collection team consists of long-term Firm <br />employees, including attorneys, paralegals, law clerks, legal secretaries, collection support <br />personnel and information technology experts; and <br />The nature of any relationship between the City and the Firm is as follows. GOVT. CODE § <br />2254.1036(1)(C). <br />i. The Firm and its predecessor The Pounders Law Firm, has represented <br />the City in the collection of delinquent taxes for over eight (8) years; and <br />WHEREAS, the City is unable to perform this function and efficiently collect its own <br />delinquent taxes. GOVT. CODE § 2254.1036(1)(D). The services involve filing a high <br />volume of cases each month and performing the services in-house would require the taxing <br />units to invest in additional technology, personnel, and other resources to provide <br />adequate support services incidental to the legal services; and <br />WHEREAS, these collection services cannot be provided for an hourly fee. GOVT. <br />CODE § 2254.1036(1)(E). The Tax Code allows the assessment of a percentage -based fee to <br />recover the costs of collecting delinquent taxes (Texas Tax Code Sections 6.30, 33.07, 33.08, <br />33.11, and 33.48). This percentage -based fee is assessed only against the debtor and not the <br />City or taxpayers of the City. The collection of delinquent taxes is a high-volume practice, <br />