Ordinance No. 11,393ORDINANCE NO_ 11,393
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN.
TEXAS, AUTI IORIZING AN AGREEMENT WITH RANDALL B_ STRONG FOR
TI-LE COLLECTION OF DELINQUENT TAXES AND PAYMENTS IN LIEU OF
TAXES, AUTHORIZING PAYMENT BY THE CITY OF BAYTOWN IN THE -
AMOUNT OF THE ADDITIONAL PENALTY PROMULGATED BY THE CITY
COLLECTED PURSUANT TO THE TAX CODE: AND PROVIDING FOR THF_
EFFECTIVE DATE THEREOF-
* * * * 4- * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * 4-1 * * * * * * * * * * * * * * * * * * * * * * r * * * *
BE IT ORDAINED BY 1-HE CI_I_Y COUNCIL OF THE CITY OF BAYTORTN_ TEXAS:
Section 1: That the City Council of the City of Baytown, Texas, hereby authorizes an
a-reernent with Randall B. Strong for the collection of delinquent taxes and payments in lieu of
taxes_ A copy of said agreement is attached hereto as Exhibit "A" and incorporated herein for all
intents and purposes_
Section 2: That the City Council of the City of Bayto -wn authorizes payment in the
amount of the additional penalty promulgated by the City collected pursuant to the -Fax Code for the
agreement authorized in Section I hereof.
Section 3: This ordinance shall take effect immediately from and after its passage by the
City Council of the City of Baytown_
IN- I- RODUCED_ READ, and PASSED by the affu-rnative vote the City Council of the City
of Baytown, this the 22nd day of July, 2010-
APPROVED AS TO FORM-
NACIO RAMIREZ. SR_, i Attorney
EPI IEN 11. DONCARLOS: Mayor
\`,wbsr� 1 \Ic ulll�urcu�F iles�Ciry Council \Ordineutees,�2030 "July 22\- ruNCollectionContract.doc
Exhibit "A"
CONTRACT
FOR THE COLLECTION OF
DELINQUENT TAXES AND PAYMENTS IN LIEU OF TAXES
STATE OF TEXAS
COUNTY OF HARRIS
THIS CONTRACT is made and entered into by and between the CITY OF BAYTOWN, a
municipal corporation located in Harris and Chambers Counties, Texas, hereinafter called "City," and
RANDALL B. STRONG, an attorney licensed to practice law in the State of Texas, whose office is
located at 407 W. Baker Road, Suite T, Baytown, Texas 77521, hereinafter called "Attorney."
City agrees to employ and does hereby employ Attorney to collect by lawsuit or otherwise all
delinquent ad valorem taxes, penalty and interest owing to City and all other taxing jurisdictions whose
taxes are collected by City. Delinquent taxes shall become subject to the terms of this Contract when
placed in litigation, on the first day of July of the year in which the taxes become delinquent, 21 days after
a notice of delinquency is sent by the tax collector for the City as provided in TEX. TAX CODE §33.08, or
on the date of filing of an 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 Attorney is at the request of the City's Tax
Assessor /Collector, whichever date is sooner.
Additionally, City agrees to employ and does hereby employ Attorney to collect by lawsuit or
otherwise all delinquent industrial district payments, penalties and interest owing to City, when the same
are turned over to the Attorney by the City. Such delinquent payments by virtue of the Industrial District
Agreement are subject to the same penalties, interest, attorneys' fees and costs of collection as
recoverable by the City in the case of delinquent ad valorem taxes. As such, Attorney shall send
notices in accordance with Article IV of this Agreement and shall be paid as compensation for
services the fees actually collected pursuant to TEX. TAX CODE §§ 33.07 and 33.48.
City agrees to employ and does hereby employ Attorney to represent it in all bankruptcy
proceedings. Attorney shall file proofs of claim necessary to ensure that the debts owed to the City,
including, but not limited to, ad valorem taxes, fees for water, sewer, garbage, and storm water utility
accounts together with fees for library fines, mowing services, and nuisance abatements are appropriately
included in the proceedings and retain their secured status, if applicable.
II.
Attorney will endeavor to call to the attention of the tax collector of the City or other City
officials any errors, double assessments or other discrepancies in the City's tax rolls which he observes
during the progress of the work. On behalf of the City, Attorney will initiate lawsuits concerning those ad
valorem taxes subject to this agreement and intervene in all suits for ad valorem taxes hereafter filed by
any taxing unit on property located within City's corporate limits. Attorney also shall provide skip trace
service for the City's contract assessor /collector, which is currently the assessor /collector of the Goose
Creek Consolidated Independent School District ( "GCCISD "), or the City's successor contract
assessor /collector.
Contract for the Collection of Delinquent Taxes
and Payments in lieu of Taxes, Page 1
effect:
III.
Attorney shall meet or exceed the following benchmarks for each year that this Contract is in
First year delinquent collections as a percentage of beginning
levybalance ....................................................................................... ............................55%
(i.e. first year = 2009 taxes, collections from 7/1/09 — 6/30/10)
2. Second year delinquent collections as a percentage of beginning
levybalance ...................................................................................... ............................30%
(i.e., second year = 2008 taxes, collections from 7/1/09 — 6/30/10)
Failure to meet such standards is grounds for the City to terminate this Contract for cause pursuant to
Article XI hereinbelow.
I-W
City has authorized by ordinance, in a manner which complies with the TEX. TAX CODE
§33.07(a), an additional penalty to defray costs of collection pursuant to TEX. TAX CODE §33.08 and the
Code of Ordinances, Baytown, Texas. Attorney agrees to prepare and mail the notice of delinquency and
of the additional penalty to the property owner pursuant to TEX. TAX CODE §33.07(d). City agrees to
cooperate and cause its tax collector to cooperate with Attorney in the preparation and delivery of such
notices, including, but not limited to, providing complete and accurate delinquent tax rolls and related
files to Attorney on or before April 30 of each year during the term of this Contract.
IN
As part of Attorney's collection responsibilities, Attorney shall coordinate sales with other tax
entities and attorneys' offices, including gathering pay off information, collection of funds, and letters
from purchaser for Council approval. Attorney shall, unless instructed otherwise by the City, order
executions of all judgments, regardless of the time the same were taken. Judgments taken on or after the
effective date of this Contract shall be executed within sixty (60) days after the date the judgment
becomes final, unless a written payment agreement has been signed as to the property. If property is
struck off to the City or has been seized by the City pursuant to a writ of execution or a tax warrant,
Attorney shall diligently attempt to sell such property in satisfaction of the amount of the judgment. Such
diligence shall include, but not be limited to, updating at least monthly the list of foreclosed properties
available for resale and providing the same for posting on the website to both GCCISD tax office and the
City Attorney's office. Attorney shall coordinate each tax foreclosure sale and ensure that the property
seized or ordered sold pursuant to foreclosure of a tax lien shall be sold in the manner as provided by law.
The City will pay the publication and sale costs charged by the Sheriff or Constable, and be entitled to
reimbursement of these amounts upon sale of the property.
City agrees to pay Attorney as compensation for the services required hereunder the fees from
TEX. TAX CODE §§ 33.07 and 33.48 actually recovered by City from the collection efforts of Attorney as
and when collected during the term of this Contract and for one year after its expiration if the collection
of taxes is attributable to judgments obtained by Attorney. The City shall pay all funds collected on
Contract for the Collection of Delinquent Taxes, Page 2
behalf of Attorney monthly, with payment by the 151h day of the month following collection by City.
Interest on late payments shall be payable as provided in Texas Government Code Section 2251.025.
VII.
Attorney may request in writing that City adopt an ordinance which would impose
the additional penalty for tax collection provided by TEx. TAX COME §§ 33.07 and
33.08 applicable to all prior years. In return for City's approval of said ordinance
at Attorney's request, ATTORNEY AGREES TO AND SHALL INDEMNIFY,
HOLD HARMLESS, AND DEFEND THE CITY, ITS OFFICERS, AGENTS AND
EMPLOYEES, FROM AND AGAINST ANY AND ALL CLAIMS, LOSSES,
DAMAGES, CAUSES OF ACTION, SUITS AND LIABILITY OF EVERY KIND,
INCLUDING ALL EXPENSES OF LITIGATION, COURT COSTS, AND
ATTORNEYS' FEES, FOR ANY AND ALL DAMAGES ARISING OUT OF OR
IN CONNECTION WITH ANY CHALLENGE TO THE LEGALITY OF SAID
ORDINANCE, WHERE SUCH DAMAGES ARE CAUSED IN WHOLE OR IN
PART BY THE NEGLIGENCE OF THE CITY AND /OR CAUSED IN WHOLE
OR IN PART BY THE NEGLIGENCE OF THE ATTORNEY. IT IS THE
EXPRESSED INTENTION OF THE PARTIES HERETO, BOTH THE
ATTORNEY AND THE CITY, THAT THE INDEMNITY PROVIDED FOR IN
THIS ARTICLE IS INDEMNITY BY THE ATTORNEY TO INDEMNIFY AND
PROTECT THE CITY FROM THE CONSEQUENCES OF THE CITY'S OWN
NEGLIGENCE AND /OR THE ATTORNEY'S OWN NEGLIGENCE
REGARDING THE ADOPTION OF THE REQUESTED ORDINANCE OR
APPLICATION OF THE SAME, WHETHER THAT NEGLIGENCE IS THE
SOLE OR A CONCURRING CAUSE OF THE RESULTING DAMAGE(S). IN
THE EVENT THAT ANY ACTION OR PROCEEDING IS BROUGHT AGAINST
THE CITY BY REASON OF ANY OF THE PROVISIONS CONTAINED IN THIS
ARTICLE, THE ATTORNEY FURTHER AGREES AND COVENANTS TO
DEFEND THE ACTION OR PROCEEDING BY LEGAL COUNSEL
ACCEPTABLE TO THE CITY. THE PROVISIONS OF THIS ARTICLE SHALL
SURVIVE THE EXPIRATION OR TERMINATION OF THIS CONTRACT.
VIII.
Attorney shall not sell, assign or transfer any of his rights or obligations under this Contract in
whole or in part without written consent of City, nor shall Attorney assign any monies due or to become
due to him hereunder without the previous consent of the City.
Contract for the Collection of Delinquent Taxes
and Payments in lieu of Taxes, Page 3
M
Attorney, personally and professionally, shall not be delinquent on any payment of taxes to the
City of Baytown, GCCISD, Harris County, Chambers County or the United States Department of the
Treasury — Internal Revenue Service.
X.
This Contract shall be effective upon the execution of the same by the City Manager and, with the
exception of the reporting requirements, shall expire, if not before terminated, on September 30, 2011.
Thereafter, this Contract may be renewed for three successive one -year terms upon (i) receipt of a request
therefor by the Attorney on or before May 31" of the year in which the Contract expires and (ii) the
approval of the City of such continued representation. The terms during such renewal periods shall be the
same as during the initial term hereof.
After the expiration of the Contract if the same is not renewed, this Contract will continue on a month -to-
month basis until such time as City notifies Attorney that it does not wish to continue the Contract. The
parties understand and agree that any such notification by the City pursuant to this paragraph occurring
after September 300' of the year in which the contract expired, shall not be deemed to be a notice of
termination without cause.
XI.
During any period, this Contract may be terminated, for cause or for convenience, by either party
by the giving of ninety (90) days' written notice thereof to the other party. If the Contract is terminated
by the City without cause, Attorney (i) shall have six (6) months following the date of such termination to
reduce to judgment all suits, which the Attorney filed prior thereto, (ii) shall be entitled to compensation
pursuant to Article VI hereinabove for any such judgments actually paid to and received by the City
during the twelve month period after the date of such termination, and (iii) shall return in good order any
and all files, whether in lawsuit, judgment or otherwise, relating in any way to the collection of delinquent
taxes pursuant to this Contract six months following the date of such termination. However, it is
expressly understood and agreed that should this Contract be terminated by the City due to a breach of
any term of this Contract by the Attorney or should t1LC Attorney terinivale this Contract, with or without
cause, Attorney shall return in good order any and all files relating in any way to the collection of
delinquent taxes pursuant to this Contract on the termination date hereof and shall be entitled to no further
compensation, as described in this article or elsewhere in this Contract, after the termination of this
Contract, other than collection penalties already received by the City prior to the date of termination. In
consideration of the terms and compensation herein stated, Attorney hereby accepts said employment and
undertakes the performance of the Contract.
XII.
Each month, Attorney shall provide the City with a written report, which shall include at a
minimum, the following information:
1. Delinquent litigation collection analysis;
The analysis of the collections of each yearly tax roll shall include the beginning tax levy
receivable, the levy paid, and the ending tax levy receivable (beginning — paid = ending).
Contract for the Collection of Delinquent Taxes, Page 4
This information is contained in the Monthly Tax Collectors report. Included with this
information shall be a calculation of the percent collections for each tax year for that
month, quarter -to -date and year -to -date (calculated as collections / beginning balance =
% collections).
2. Lawsuits (Original Petitions) filed during the reporting period;
3. Interventions filed during the reporting period;
4. Lawsuits pending;
5. Lawsuits dismissed;
6. Lawsuits nonsuited;
7. Judgments;
8. Foreclosures/Tax sales;
9. Tax warrants/Writs of execution; and
10. Tax bankruptcies.
Included in the above - referenced information shall be a detailed listing of each lawsuit
which has had activity during a monthly reporting period and a description of such activity. Such
report shall be due on or before the thirtieth (30�) day of the month following the end of the
monthly reporting period.
Quarterly, Attorney shall provide written management reports with comparative performance
measurements on delinquent tax collections. In order to make an informed evaluation regarding
collections and the performance of Attorney, such quarterly reports will include that information from
both the current and prior years required by the tax collector. Additionally, Attorney along with the
management report shall provide on a quarterly basis a count of correspondence sent to holders of
delinquent accounts, including, but not limited to, billings and notices. These quarterly reports shall be
due within thirty (30) days after the end of the quarterly reporting period.
Annually, Attorney shall provide the City with a written report, which shall include at a
minimum, the following information:
1. Top twenty-five (25) delinquent accounts for both real and personal property for the four
most recent tax years;
2. List of accounts (with balances due) that are deemed uncollectible and why; and
3. Annual Collection Fees received by Attorney.
This annual report shall be due on November 30th of each year.
Failure to provide a report, when due is grounds for the City to terminate this Contract for cause.
pursuant to Article XI hereinbelow.
Contract for the Collection of Delinquent Taxes_
and Payments in lieu of Taxes, Page 5
X1II.
This Contract shall not bestow any rights upon any third party, but rather, shall bind and benefit
the Attorney and the City only.
XIV.
This Contract contains all the agreements of the parties relating to the subject matter hereof and is
the full and final expression of the agreement between the parties and supersedes all prior written or oral
understandings.
XV.
All notices required to be given hereunder shall be given in writing either by telecopier,
overnight, or facsimile transmission, certified or registered mail at the respective addresses of the parties
set forth herein or at such other address as may be designated in writing by either party. Notice given by
mail shall be deemed given three (3) days after the date of mailing thereof to the following addresses:
ATTORNEY
Randall B. Strong
Attorney at Law
407 W. Baker Road, Suite T
Baytown, Texas 77521
Fax: 281- 427 -0864
CITY
City of Baytown
Attn: City Manager
P.O. Box 424
Baytown, TX 77522
Fax: 281 - 420 -6586
XVI.
Failure of either party hereto to insist on the strict performance of any of the agreements herein or
to exercise any rights or remedies accruing thereunder upon default or failure of performance shall not be
considered a waiver of the right to insist on and to enforce by an appropriate remedy, strict compliance
with any other obligation hereunder to exercise any right or remedy occurring as a result of any future
default or failure of performance.
XVII.
This Contract shall in all respects be interpreted and construed in accordance with and governed
by the laws of the State of Texas and the City, regardless of the place of its execution or performance.
The place of making and the place of performance for all purposes shall be Baytown, Harris County,
Texas.
Contract for the Collection of Delinquent Taxes, Page 6
XVIII.
This Contract constitutes the entire agreement and all understandings between the parties
concerning the subject matter hereof and supersedes all prior proposals or other communications between
the parties, oral or written. No modifications and amendments hereto shall be binding upon either party
unless in writing and signed by a duly authorized representative of the parties.
a ti'
All parties agree that should any provision of this Contract be determined to be invalid or
unenforceable, such determination shall not affect any other term of this Contract, which shall continue in
full force and effect.
XX.
In the event of any ambiguity in any of the terms of this Contract, it shall not be construed for or
against any party hereto on the basis that such party did or did not author the same.
XXI.
It is understood and agreed that this Contract may be executed in a number of identical
counterparts each of which shall be deemed an original for all purposes.
SIGNED in duplicate originals this the _t[A,—day of 2010, in Harris
County, Texas.
ATTEST:
LETICIA GARZA, City Clerk
APPROVED AS TO FORM:
IGNACIO RAMIREZ, SR., City Attorney
Contract for the Collection of Delinquent Taxes
and Payments in lieu of Taxes, Page 7
CITY OF BAYTOWN, TEXAS
GARRISON C. BRUMBACK, City Manager
-- r
STATE OF TEXAS
COUNTY OF HARRIS
Before me, �46- antl kJdn, the undersigned notary public, on this day personally
appeared Randall B. Strong, known to me to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that he executed that instrument for the purposes and consideration
therein expressed. ,,������
Given under my hand and seal of office this � *ay of P1 2010.
LOAIMNA 0.1VEW0tl Not lic in and for the tate o
? t MYCOA"SSIOMEXPIRES Texas
Pt.Z 9, 2011
My commission expires:
RAKsren\Files\Contracts \Tax Collection AgreemenATexCollectionContmo RandySirong2010.11Clean.doc
Contract for the Collection of Delinouent Taxes, Page 8
CONTRACT
FOR THE COLLECTION OF
DELINQUENT TAXES AND PAYMENTS IN LIEU OF TAXES
STATE OF TEXAS
COUNTY OF HARRIS
THIS CONTRACT is made and entered into by and between the CITY OF BAYTOWN, a
municipal corporation located in Harris and Chambers Counties, Texas, hereinafter called "City," and
RANDALL B. STRONG, an attorney licensed to practice law in the State of Texas, whose office is
located at 407 W. Baker Road, Suite T, Baytown, Texas 77521, hereinafter called "Attorney."
I.
City agrees to employ and does hereby employ Attorney to collect by lawsuit or otherwise all
delinquent ad valorem taxes, penalty and interest owing to City and all other taxing jurisdictions whose
taxes are collected by City. Delinquent taxes shall become subject to the terms of this Contract when
placed in litigation, on the first day of July of the year in which the taxes become delinquent, 21 days after
a notice of delinquency is sent by the tax collector for the City as provided in TEX. TAX CODE §33.08, or
on the date of filing of an 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 Attorney is at the request of the City's Tax
Assessor/Collector, whichever date is sooner.
Additionally, City agrees to employ and does hereby employ Attorney to collect by lawsuit or
otherwise all delinquent industrial district payments, penalties and interest owing to City, when the same
are turned over to the Attorney by the City. Such delinquent payments by virtue of the Industrial District
Agreement are subject to the same penalties, interest, attorneys' fees and costs of collection as
recoverable by the City in the case of delinquent ad valorem taxes. As such, Attorney shall send
notices in accordance with Article IV of this Agreement and shall be paid as compensation for
services the fees actually collected pursuant to TEX. TAX CODE §§ 33.07 and 33.48.
City agrees to employ and does hereby employ Attorney to represent it in all bankruptcy
proceedings. Attorney shall file proofs of claim necessary to ensure that the debts owed to the City,
including, but not limited to, ad valorem taxes, fees for water, sewer, garbage, and storm water utility
accounts together with fees for library fines, mowing services, and nuisance abatements are appropriately
included in the proceedings and retain their secured status, if applicable.
II.
Attorney will endeavor to call to the attention of the tax collector of the City or other City
officials any errors, double assessments or other discrepancies in the City's tax rolls which he observes
during the progress of the work. On behalf of the City, Attorney will initiate lawsuits concerning those ad
valorem taxes subject to this agreement and intervene in all suits for ad valorem taxes hereafter filed by
any taxing unit on property located within City's corporate limits. Attorney also shall provide skip trace
service for the City's contract assessor/collector, which is currently the assessor/collector of the Goose
Creek Consolidated Independent School District ("GCCISD"), or the City's successor contract
assessor/collector.
Contract for the Collection of Delinquent Taxes
and Payments in lieu of Taxes, Page 1
effect:
Attorney shall meet or exceed the following benchmarks for each year that this Contract is in
1. First year delinquent collections as a percentage of beginning
levy balance 55%
(i.e. first year = 2009 taxes, collections from 7/1/09 — 6/30/10)
2. Second year delinquent collections as a percentage of beginning
levy balance 30%
(i.e., second year = 2008 taxes, collections from 7/1/09 — 6/30/10)
Failure to meet such standards is grounds for the City to terminate this Contract for cause pursuant to
Article XI hereinbelow.
IV.
City has authorized by ordinance, in a manner which complies with the TEX. TAX CODE
§33.07(a), an additional penalty to defray costs of collection pursuant to TEX. TAX CODE §33.08 and the
Code of Ordinances, Baytown, Texas. Attorney agrees to prepare and mail the notice of delinquency and
of the additional penalty to the property owner pursuant to TEX. TAX CODE §33.07(d). City agrees to
cooperate and cause its tax collector to cooperate with Attorney in the preparation and delivery of such
notices, including, but not limited to, providing complete and accurate delinquent tax rolls and related
files to Attorney on or before April 30 of each year during the term of this Contract.
V.
As part of Attorney's collection responsibilities, Attorney shall coordinate sales with other tax
entities and attorneys' offices, including gathering pay off information, collection of funds, and letters
from purchaser for Council approval. Attorney shall, unless instructed otherwise by the City, order
executions of all judgments, regardless of the time the same were taken. Judgments taken on or after the
effective date of this Contract shall be executed within sixty (60) days after the date the judgment
becomes final, unless a written payment agreement has been signed as to the property. If property is
struck off to the City or has been seized by the City pursuant to a writ of execution or a tax warrant,
Attorney shall diligently attempt to sell such property in satisfaction of the amount of the judgment. Such
diligence shall include, but not be limited to, updating at least monthly the list of foreclosed properties
available for resale and providing the same for posting on the website to both GCCISD tax office and the
City Attorney's office. Attorney shall coordinate each tax foreclosure sale and ensure that the property
seized or ordered sold pursuant to foreclosure of a tax lien shall be sold in the manner as provided by law.
The City will pay the publication and sale costs charged by the Sheriff or Constable, and be entitled to
reimbursement of these amounts upon sale of the property.
VI.
City agrees to pay Attorney as compensation for the services required hereunder the fees from
TEX. TAX CODE §§ 33.07 and 33.48 actually recovered by City from the collection efforts of Attorney as
and when collected during the term of this Contract and for one year after its expiration if the collection
of taxes is attributable to judgments obtained by Attorney. The City shall pay all funds collected on
Contract for the Collection of Delinquent Taxes, Page 2
behalf of Attorney monthly, with payment by the 15th day of the month following collection by City.
Interest on late payments shall be payable as provided in Texas Government Code Section 2251.025.
VII.
Attorney may request in writing that City adopt an ordinance which would impose
the additional penalty for tax collection provided by TEX. TAX CODE §§ 33.07 and
33.08 applicable to all prior years. In return for City's approval of said ordinance
at Attorney's request, ATTORNEY AGREES TO AND SHALL INDEMNIFY,
HOLD HARMLESS, AND DEFEND THE CITY, ITS OFFICERS, AGENTS AND
EMPLOYEES, FROM AND AGAINST ANY AND ALL CLAIMS, LOSSES,
DAMAGES, CAUSES OF ACTION, SUITS AND LIABILITY OF EVERY KIND,
INCLUDING ALL EXPENSES OF LITIGATION, COURT COSTS, AND
ATTORNEYS' FEES, FOR ANY AND ALL DAMAGES ARISING OUT OF OR
IN CONNECTION WITH ANY CHALLENGE TO THE LEGALITY OF SAID
ORDINANCE, WHERE SUCH DAMAGES ARE CAUSED IN WHOLE OR IN
PART BY THE NEGLIGENCE OF THE CITY AND/OR CAUSED IN WHOLE
OR IN PART BY THE NEGLIGENCE OF THE ATTORNEY. IT IS THE
EXPRESSED INTENTION OF THE PARTIES HERETO, BOTH THE
ATTORNEY AND THE CITY, THAT THE INDEMNITY PROVIDED FOR IN
THIS ARTICLE IS INDEMNITY BY THE ATTORNEY TO INDEMNIFY AND
PROTECT THE CITY FROM THE CONSEQUENCES OF THE CITY'S OWN
NEGLIGENCE AND/OR THE ATTORNEY'S OWN NEGLIGENCE
REGARDING THE ADOPTION OF THE REQUESTED ORDINANCE OR
APPLICATION OF THE SAME, WHETHER THAT NEGLIGENCE IS THE
SOLE OR A CONCURRING CAUSE OF THE RESULTING DAMAGE(S). IN
THE EVENT THAT ANY ACTION OR PROCEEDING IS BROUGHT AGAINST
THE CITY BY REASON OF ANY OF THE PROVISIONS CONTAINED IN THIS
ARTICLE, THE ATTORNEY FURTHER AGREES AND COVENANTS TO
DEFEND THE ACTION OR PROCEEDING BY LEGAL COUNSEL
ACCEPTABLE TO THE CITY. THE PROVISIONS OF THIS ARTICLE SHALL
SURVIVE THE EXPIRATION OR TERMINATION OF THIS CONTRACT.
VIII.
Attorney shall not sell, assign or transfer any of his rights or obligations under this Contract in
whole or in part without written consent of City, nor shall Attorney assign any monies due or to become
due to him hereunder without the previous consent of the City.
Contract for the Collection of Delinquent Taxes
and Payments in lieu of Taxes, Page 3
IX.
Attorney, personally and professionally, shall not be delinquent on any payment of taxes to the
City of Baytown, GCCISD, Harris County, Chambers County or the United States Department of the
Treasury — Internal Revenue Service.
X.
This Contract shall be effective upon the execution of the same by the City Manager and, with the
exception of the reporting requirements, shall expire, if not before terminated, on September 30, 2011.
Thereafter, this Contract may be renewed for three successive one-year terms upon (i) receipt of a request
therefor by the Attorney on or before May 31st of the year in which the Contract expires and (ii) the
approval of the City of such continued representation. The terms during such renewal periods shall be the
same as during the initial term hereof.
After the expiration of the Contract if the same is not renewed, this Contract will continue on a month -to -
month basis until such time as City notifies Attorney that it does not wish to continue the Contract. The
parties understand and agree that any such notification by the City pursuant to this paragraph occurring
after September 30`h of the year in which the contract expired, shall not be deemed to be a notice of
termination without cause.
XI.
During any period, this Contract may be terminated, for cause or for convenience, by either party
by the giving of ninety (90) days' written notice thereof to the other party. If the Contract is terminated
by the City without cause, Attorney (i) shall have six (6) months following the date of such termination to
reduce to judgment all suits, which the Attorney filed prior thereto, (ii) shall be entitled to compensation
pursuant to Article VI hereinabove for any such judgments actually paid to and received by the City
during the twelve month period after the date of such termination, and (iii) shall return in good order any
and all files, whether in lawsuit, judgment or otherwise, relating in any way to the collection of delinquent
taxes pursuant to this Contract six months following the date of such termination. However, it is
expressly understood and agreed that should this Contract be terminated by the City due to a breach of
any term of this Contract by the Attorney or should the Attorney terminate this Contract, with or without
cause, Attorney shall return in good order any and all files relating in any way to the collection of
delinquent taxes pursuant to this Contract on the termination date hereof and shall be entitled to no further
compensation, as described in this article or elsewhere in this Contract, after the termination of this
Contract, other than collection penalties already received by the City prior to the date of termination. In
consideration of the terms and compensation herein stated, Attorney hereby accepts said employment and
undertakes the performance of the Contract.
XII.
Each month, Attorney shall provide the City with a written report, which shall include at a
minimum, the following information:
1. Delinquent litigation collection analysis;
The analysis of the collections of each yearly tax roll shall include the beginning tax levy
receivable, the levy paid, and the ending tax levy receivable (beginning — paid = ending).
Contract for the Collection of Delinquent Taxes, Page 4
This information is contained in the Monthly Tax Collectors report. Included with this
information shall be a calculation of the percent collections for each tax year for that
month, quarter -to -date and year-to-date (calculated as collections / beginning balance =
% collections).
2. Lawsuits (Original Petitions) filed during the reporting period;
3. Interventions filed during the reporting period;
4. Lawsuits pending;
5. Lawsuits dismissed;
6. Lawsuits nonsuited;
7. Judgments;
8. Foreclosures/Tax sales;
9. Tax warrants/Writs of execution; and
10. Tax bankruptcies.
Included in the above -referenced information shall be a detailed listing of each lawsuit
which has had activity during a monthly reporting period and a description of such activity. Such
report shall be due on or before the thirtieth (30`h) day of the month following the end of the
monthly reporting period.
Quarterly, Attorney shall provide written management reports with comparative performance
measurements on delinquent tax collections. In order to make an informed evaluation regarding
collections and the performance of Attorney, such quarterly reports will include that information from
both the current and prior years required by the tax collector. Additionally, Attorney along with the
management report shall provide on a quarterly basis a count of correspondence sent to holders of
delinquent accounts, including, but not limited to, billings and notices. These quarterly reports shall be
due within thirty (30) days after the end of the quarterly reporting period.
Annually, Attorney shall provide the City with a written report, which shall include at a
minimum, the following information:
1. Top twenty-five (25) delinquent accounts for both real and personal property for the four
most recent tax years;
2. List of accounts (with balances due) that are deemed uncollectible and why; and
3. Annual Collection Fees received by Attorney.
This annual report shall be due on November 30`h of each year.
Failure to provide a report, when due is grounds for the City to terminate this Contract for cause.
pursuant to Article XI hereinbelow.
Contract for the Collection of Delinquent Taxes
and Payments in lieu of Taxes, Page 5
XIII.
This Contract shall not bestow any rights upon any third party, but rather, shall bind and benefit
the Attorney and the City only.
XIV.
This Contract contains all the agreements of the parties relating to the subject matter hereof and is
the full and final expression of the agreement between the parties and supersedes all prior written or oral
understandings.
XV.
All notices required to be given hereunder shall be given in writing either by telecopier,
overnight, or facsimile transmission, certified or registered mail at the respective addresses of the parties
set forth herein or at such other address as may be designated in writing by either party. Notice given by
mail shall be deemed given three (3) days after the date of mailing thereof to the following addresses:
ATTORNEY
Randall B. Strong
Attorney at Law
407 W. Baker Road, Suite T
Baytown, Texas 77521
Fax: 281-427-0864
CITY
City of Baytown
Attn: City Manager
P.O. Box 424
Baytown, TX 77522
Fax: 281-420-6586
XVI.
Failure of either party hereto to insist on the strict performance of any of the agreements herein or
to exercise any rights or remedies accruing thereunder upon default or failure of performance shall not be
considered a waiver of the right to insist on and to enforce by an appropriate remedy, strict compliance
with any other obligation hereunder to exercise any right or remedy occurring as a result of any future
default or failure of performance.
XVII.
This Contract shall in all respects be interpreted and construed in accordance with and governed
by the laws of the State of Texas and the City, regardless of the place of its execution or performance.
The place of making and the place of performance for all purposes shall be Baytown, Harris County,
Texas.
Contract for the Collection of Delinquent Taxes, Page 6
XVIII.
This Contract constitutes the entire agreement and all understandings between the parties
concerning the subject matter hereof and supersedes all prior proposals or other communications between
the parties, oral or written. No modifications and amendments hereto shall be binding upon either party
unless in writing and signed by a duly authorized representative of the parties.
XIX.
All parties agree that should any provision of this Contract be determined to be invalid or
unenforceable, such determination shall not affect any other term of this Contract, which shall continue in
full force and effect.
XX.
In the event of any ambiguity in any of the terms of this Contract, it shall not be construed for or
against any party hereto on the basis that such party did or did not author the same.
XXI.
It is understood and agreed that this Contract may be executed in a number of identical
counterparts each of which shall be deemed an original for all purposes.
SIGNED in duplicate originals this the
County, Texas.
APPROVED AS TO FORM:
NACIO RAMIREZ, SR., City A
Contract for the Collection of Delinquent Taxes
and Payments in lieu of Taxes, Page 7
day of , 2010, in Harris
CITY
GARRISON C. UMBACK, City Manager
STATE OF TEXAS
COUNTY OF HARRIS
§
§
§
Before me, LeeiOQ'Ra IV kuj4011, the undersigned notary public, on this day personally
appeared Randall B. Strong, known to me to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that he executed that instrument for the purposes and consideration
therein expressed.
Given under my hand and seal of office this I �e ' ay of I , 2010.
LORIANA D. NEWTON
MY COMMISSION EXPIRES
'%.R„``` August 9, 2011
Nota ' • . lic in and for the State of
Texas
My commission expires:
R:\Karen\Files\Contracts\Tax Collection Agreement\TaxCollectionContract RandyStrong2010-11Clean.doc
Contract for the Collection of Delinquent Taxes, Page 8
Orig. Dept.: File/I.D. No.:
INSTRUCTION: ENTITIES USING AN ASSUMED NAME SHOULD DISCLOSE SUCH FACT TO AVOID
REJECTION OF THE AFFIDAVIT. THE FOLLOWING FORMAT IS RECOMMENDED:
CORPORATE/LEGAL NAME DBA ASSUMED NAME.
STATE OF I .Q x
COUNTY OF 14 arr;f §
AFFIDAVIT OF OWNERSHIP OR CONTROL
BEFORE ME, the undersigned authority, on this day personally appeared
(t, ,L 1/ 4. —s-t-r dog [FULL NAME] (hereinafter "Affiant"),
es Uri e�^ / [STATE TITLE/CAPACITY WITH
CONTRACTING ENTITY] of rAn aw 11 Jam. ,51'/$a,1 /} cup"el K'F I-qr� [CONTRACTING
ENTITY'S CORPORATE/LEGAL NAME] ("Contracting ntity"), wh6 being by me duly sworn on
oath stated as follows:
1. Affiant is authorized to give this affidavit and has personal knowledge of
the facts and matters herein stated.
2. Contracting Entity seeks to do business with the City in connection with
—V-C*ie tie es{ib►^ C.-6 kl.rt`a-c/t [DESCRIBE PROJECT
OR MATTER] which is expected to be in an amount that exceeds $50,000.
3. The following information is submitted in connection with the proposal,
submission or bid of Contracting Entity in connection with the above
described project or matter.
4. Contracting Entity is organized as a business entity as noted below (check
box as applicable).
FOR PROFIT ENTITY: NON-PROFIT ENTITY:
[X] SOLE PROPRIETORSHIP [ ] NON-PROFIT CORPORATION
[ ] CORPORATION [ ] UNINCORPORATED ASSN.
[ ] PARTNERSHIP
[ ] LIMITED PARTNERSHIP
[ ] JOINT VENTURE
[ ] LIMITED LIABILITY COMPANY
[ ] OTHER (Specify type in space below):
5. The information shown below is true and correct for the Contracting
Entity and all owners of 5% or more of the Contracting Entity and, where
the Contracting Entity is a non-profit entity, the required information has
been shown for each officer. [NOTE: IN ALL CASES, USE FULL NAMES,
LOCAL BUSINESS AND RESIDENCE ADDRESSES AND TELEPHONE
Affidavit of Ownership or Control, Page 1
Orig. Dept.: File/I.D. No.:
NUMBERS. DO NOT USE POST OFFICE BOXES FOR ANY ADDRESS.
INCLUSION OF E-MAIL ADDRESSES IS OPTIONAL, BUT RECOMMENDED.
ATTACH ADDITIONAL SHEETS AS NEEDED.]
Contracting EntityX..1/ /�
Name: �A+� / !� - S `lI` con 3, 4*Z" .) ,-j--- L
Business Address [NO./STREET] yD 7 G)ey• Icon(.
[CITY/STATE/ZIP CODE] 64(541 tJ4 a Tip 7 7.S,2
5%
Telephone Number
(2 9/O
Email Address [OPTIONAL] ('G A c4 , s*.lip era n A.4 Stle�nv� ' cliff
Residence Address [NO./STREET] 1,0 3 l a Aire.
[CITY/STATE/ZIP CODE] iyit.J r• , \ )c % 7
Telephone Number [OPTIONAL] (e2 $% ) 303 g /2
Email Address [OPTIONAL]
or More Owner(s)/Officers of Non -Profit Corporation
(IF NONE, STATE "NONE.")
Name:
N in
Business Address [NO./STREET]
[CITY/STATE/ZIP CODE]
Telephone Number
Email Address [OPTIONAL]
Residence Address [NO./STREET]
[CITY/STATE/ZIP CODE]
Telephone Number [OPTIONAL] ( )
Email Address [OPTIONAL]
6. Optional Information
Contracting
Affidavit of Ownership or Control, Page 2
Entity
and/or
[NAME OF
Orig. Dept.: File/I.D. No.:
OWNER OR NON-PROFIT OFFICER] is actively protesting, challenging or
appealing the accuracy and/or amount of taxes levied against
[CONTRACTING ENTITY,
OWNER OR NON-PROFIT OFFICER] as follows:
Name of Debtor:
Type of Debt:
Account Nos.:
Case or File Nos.:
Attorney/Agent Name:
Attorney/Agent Phone No.:
Delinquent Years/Months:
Status of Appeal [DESCRIBE]:
Affiant certifies that he or she is duly authorized to submit the above information on
behalf of the Contracting Entity, that Affiant is associated with the Contracting Entity in the
capacity noted above and has personal knowledge of the accuracy of the information provided
herein, and that the information provided herein is true and correct to the best of Affiant's
knowledge and belief.
(Seal)
SWORN TO AND SUBSCRIBED before me thisday of
i
111N1"
LORIANA D. NEWTON
m MY COMMISSION EXPIRES
August 9, 2011
otary—Public in and for theate o
NOTE:
This affidavit constitutes a government record as defined by Section 37.01 of the Texas Penal
Code. Submission of a false government record is punishable as provided in Section 37.10 of the
Texas Penal Code.
Attach additional pages if needed to supply the required names and addresses.
R:\Karen\Files\Contracts\Affidiavit of Ownership or Control.doc
Affidavit of Ownership or Control, Page 3