Loading...
Item 4P Item 4P M E M O R A N D U M July 28, 2015 To: Shana Yelverton, City Manager From: Sharen Jackson, Chief Financial Officer Subject: Approve the annual interlocal agreement with Tarrant County to provide tax collection and assessment services for ad valorem taxes levied by the City of Southlake for tax year 2015. Action Requested: Approvalof the annual interlocal agreement with Tarrant County to provide tax collection and assessment services for ad valorem taxes levied by the City of Southlake for tax year 2015 Background Information: Since 1982, the Tarrant County Tax Assessor/Collector has collected property taxes for the City of Southlake. The renewal contract has been presented to the City for collection of the 2015taxes for the fiscal year beginning October 1, 2015. Tarrant County charges $1.10per account/parcel. The number of accounts will be based on the October billing roll certified to the assessor/collector by the Tarrant Appraisal District(TAD). New accounts added by TAD will be billed to the City quarterly. The contract states that collections in excess of $100 shall bedisbursed to the City on a daily basis, and always at the close of the month. Reports provided to the City are also disclosed in the contract provisions, and allow Southlake to perform an audit of the County’s collection process at our discretion. The County may also invest the collected funds in a manner that complies with the Public Funds Investment Act. Southlake would spend well in excess of the anticipated $14,000 if the City chose to provide this service in house. Financial Considerations: The amount budgeted for this service is $14,000; however, should the contract not be approved, the City would be required to provide the service in house, creating the necessity to hire additional staff and equipment which would dramatically increase the cost to Southlake. Honorable Mayor and City Council Page 2 of 2 Strategic Link: This agenda item is linked to the Southlake Strategy Map through the following objectives: B2 Collaborate with select partners to implement service solutions C5 Promote opportunities for partnerships and volunteer involvement Citizen Input/ Board Review: No requirement exists to review the contract with citizens or boards Legal Review: The contract has been reviewed by the City Attorney. Alternatives: The alternative to approving this contract is to require Southlake staff to assess and collect taxes. The cost of this action would far exceed the cost to contract with Tarrant County. Supporting Documents: The contract for Tax Collection with Tarrant County is attached. Staff Recommendation: Staff recommends approval of the contract with Tarrant County for the assessment and collection of the 2015taxes . for the City of Southlake XIII. MISCELLANEOUS PROVISIONS This instrument hereto contains the entire Agreement between the parties relating to the rights herein granted and obligations herein assumed. Any oral representations or modifications concerning this instrument shall be of no force or effect. This Agreement shall be construed under and in accordance with the laws of the State of Texas, and all obligations of the parties created hereunder are performable in Tarrant County, Texas. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective legal representatives and successors. In case any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or enforceability shall not affect any other provision hereof and this Agreement shall be construed as if such invalid, illegal, or unenforceable provisions had never been contained. This Agreement and the attachments hereto constitutes the sole and only agreement of the parties hereto and supersedes any prior understandings or written or oral agreements between the parties respecting the within subject matter. Executed on the day and year first above written, Tarrant County, Texas. BY.• RON WRIGHT, TAX ASSESSOR/COLLECTOR TARRANT COUNTY FOR City of Southlake BY.• TITLE. FOR TARRANT COUNTY: BY. B. GLEN WHITLEY TARRANT COUNTY JUDGE APPROVED AS TO FORM: BY.• DATE DATE DATE CRIMINAL DISTRICTATTORNEY'S OFFICE* DATE *By law, the Criminal District Attorney's Office may only approve contracts for its clients. We reviewed this document as to form from our client's legal perspective. Other parties may not rely on this approval. Instead those parties should seek contract review from independent counsel.