HomeMy WebLinkAboutResolution No. 09-051
CITY OF THE COLONY, TEXAS ,
RESOLUTION NO. 09- 0~1
A RESOLUTION OF THE CITY OF THE COLONY, AUTHORIZING THE CITY
MANAGER TO EXECUTE AN INTERLOCAL COOPERATION AGREEMENT
BETWEEN THE CITY OF THE COLONY AND DENTON COUNTY FOR THE
COLLECTION OF PROPERTY TAXES FOR THE CITY FOR 2009-2010
FISCAL YEAR; PROVIDING AN EFFECTIVE DATE.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF THE COLONY, TEXAS:
Section 1. That the City Manager of the City of The Colony, Texas is hereby authorized
and empowered to execute an Interlocal Cooperation Agreement with Denton County for
the collection of property taxes for fiscal year 2009-2010.
Section 2. That a true and correct copy of the Interlocal Cooperation Agreement is
attached hereto and incorporated herein.
Section 3. That this resolution shall take effect immediately from and after its passage.
PASSED AND APPROVED by the City Council of the City of The Colony,
Texas this 20th day of July, 2009.
oe McC rry, Mayor
City of he Colony, Tex
ATTEST:
C ristie Wilson, TRMC, City Secretary
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INTERLOCAL OOPERATION AGREEMEN'T' - TAX_COLLEC"TION
THIS AGREEMEENT is made and entered into
day of L~_._ 2009, by and between. DENTON COUN'T'Y, a political
subdivision. of the State of Texas, hereinafter referred to as "COUNTY," and, the
City/Town of THE COLONY, Denton County, Texas, also a. political subdivision of the
State of Texas, hereinafter referred to as "MUNICIPALITY."
WHERE, AS, COUNTY and MUNICIPALITY mutually desire to be subject to
the provisions of V.T.C.A. Govemment Code, Chapter 791, the Intcrlocal Cooperation
Act, and V.T.C.A., Tax Code, Section 6.24 and 25.17 and.,
WHEREAS, MUNICIPALITY has the authority to contract with the COUNTY
for the COUNTY to act as tax assessor and collector for MUNICIPALITY and
COUN'T'Y has the authority to so act;
NOW THEREFORE, COUNTY and MUNICIPALITY, for and in
consideration of the mutual promises, covenants, and agreements herein contained, do
agree as follows:
1.
The effective date of this Agreement shall be the I` day of October, 2009. The
term of this Agreement gial.l be for a period of one year, from October 1, 2009, to and
through September 30, 2010. This Agreement shall be automatically renewed for an
additional one (1) year terra at the discretion of the COUNTY and MUNICIPALITY,
unless written notice of termination is provided by the terminating party to the other party
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prior to one hundred-fifty (150) days of the expiration date of the .initial term of the
Agreement.
11.
For, the purposes and consideration herein stated and contemplated, COUNTY
shall provide the following necessary and. appropriate services for MUNICIPALITY to
the maximum extent authorized by this Agreement, without regard to race, sex, religion,
color, age, disability, or national origin;
1, COUNTY, by and through its duly qualified tax assessor-collector, shall
serve as tax, assessor-collector for MUNICIPALITY for ad valorem tax collection for
tax year 2009, and each tax year for the duration of this Agreement. COUNTY agrees to
perform all necessary ad valorem assessing and collecting duties for MUNICIPALITY
and MUNICIPALITY does hereby expressly authorize COUNTY to do and perfonn all
acts necessary and proper to assess and collect taxes for MUNICIPALITY. COUN'T'Y
agrees to collect base taxes, penalties, interest, and attorney's fees.
2. COUNTY agrees to prepare and mail all tax statements; provide monthly
collection reports to MUNICIPALITY; prepare tax certificates; develop and maintain
both current and delinquent tax rolls; meet the requirements of Section 26.04 of the Texas
Tax Code; and to develop and maintain such other records and forms as are necessary or
required by State law, rules, or regulations.
3. COUNTY further agrees that it will calculate the effective tax rates and
rollback tax rates for MUNICIPALITY and that such calculations will be provided at no
additional cost to MUNICIPALITY. The information concerning the effective and
rollback tax rates will be published in the form prescribed by the Comptroller of Public
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Accounts of the State of Texas, and as required by Section 26.04 of V.1',C.A. Tax Code.
MUNICIPALITY shall notify tax assessor-collector at least 7 days before
MUNICIPALITY wishes publication of forms specified in this section, It is understood
and agreed by the parties that the expense of publication shall be borne by
MUNICIPALITY and that COUNTY shall provide MUNICIPA.LITY's billing address
to the newspaper publishing the effective and rollback tax rates.
4. COUNTY agrees, upon request, to offer guidance and the necessary foxxns
for posting notices of required hearing and quarter-page notices as required by Sections
26.05 and 26.06 of V,T.C.A. -Tax Code, if MUNICIPALITY requests such 7 days in
advance of the intended publication date, Should MUNICIPALITY vote to increase its
tax rate above the rollback tax rate the required publication of notices shall be the
responsibility of MUNICIPALITY.
5. COUN'T'Y agrees to develop and maintain written policies and procedures
of its operation. COUNTY further agrees to make available full infomiation about the
operation of the County Tax Office to MUNICIPALITY, and to promptly furnish
written reports to keep MUNICIPALITY informed of all financial information affecting
it.
6. MUNICIPALITY agrees to promptly deliver to COUNTY all records
that it has accumulated and developed in the assessment and collection of taxes, and to
cooperate in furnishing or locating any other infoianation wid records needed by
COUNTY to perform its duties under the terms and conditions of this Agreement.
7. COUNTY agrees to allow an audit of the tax records of
MUNICIPALITY in COUNTY'S possession during normal working hours with at least
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48 hours advance, written notice to COUNTY. The expense of any and all such audits
shall be paid by MUNICIPALITY. A copy of any and all such audits shall be furnished
to COUNTY.
8. If required by MUNICIPALITY, COUNTY agrees to obtain a surety
bond for the County Tax Assessor/Collector.. Such bond will be conditioned upon the
faitliful performance of the Tax Assessor/Collector's lawful duties, will be made payable
to MUNICIPALITY and in an amount determined by the governing body of
MUNICIPALITY. The premium, for any such bond, shall be borne solely by
MUNICIPALITY.
9. COUNTY agrees that it will place at least quarter-page advertisements in
newspapers serving Dorton County in January, 2010, as a reminder that delinquent tax
penalties will apply to all assessed taxes which are not paid by January 31, 2010. The
advertisements will be printed in each paper, between January 5"' and January 25`x'.
10. COUNTY agrees that it will post to a. secure websi.te collection reports for
MUNICIPALITY listing current taxes, delinquent taxes, penalties and interest on a daily
basis between October 1, 2009 and March 31, 2010 and on a weekly basis between April
1, 201.0 and September 30, 2010. County will provide monthly Maintenance and
Operation (hereinafter referred to as "MO"), and Interest and Sinking (hereinafter
referred to as "IS") collection reports; provide montlily- recap reports; and provide
monthly attorney fee collection reports.
11. MUNICIPALITY retains its right to select its own delinquent tax
collection attorney and COUNTY agrees to reasonably cooperate with the attorney
selected by MUNICIPALITY in the collection of delinquent taxes and related activities.
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12. MUNICIPALITY will provide COUNTY with a copy of their current tax
collection attorney contract on or before each February 1st. Also MUNICIPALITY will
provide COUNTY with notice of any change in collection attorney on or before the
effective date of the new collection attorney contract.
,tI1.
COUNTY hereby designates the Denton County Tax Assessor/ Collector to act
on behalf of the County Tax. Office and to serve as Liaison for COUNTY with
MUNICIPALITY. The County Tax Assessor/Collector, and/or his/her designee, shall
ensure the performance o'.E all duties and obligations of COUNTY; shall devote sufficient
time and attention to the execution of said duties on behalf of COUNTY in full
compliance with the terrrrs and conditions ol.` this Agreement; and shall provide
immediate and direct supervision of the County Tax Office employees, agents,
contractors, subcontractors, and/or laborers, if any, in the .ftrrthera.il of the p1..aTose's
terms and conditions of this Agreement for the mutual benefit of COUNTY and
MUNICIPALITY.
IV.
COUNTY accepts responsibility for the acts, negligence, anal/or omissions
related to property tax service of all COUNTY employees and agents, sub-contractors
and /or contract .laborers, and for those actions of other persons doing work under a
contract or agreement with COUNTY to the extent allowed by law.
V.
MUNICIPALITY accepts responsibility for the acts, negligence, and/or
omissions of ail MUNICIPALITY employees and agents, sub-contractors and/or
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contract laborers, and for those of all other persons doing work under a contract or
agreement with MUNICIPALITY to the extent allowed by law,
VI,
MUNICIPALITY understan,d.s and agrees that MUNICIPALITY, its
employees, servants, agents, and representatives shall at no time represent themselves to
be employees, servants, agents, and./or representatives of COUNTY. COUNTY
understands and agrees that COUNTY, its employees, servants, agents, and
representatives shall at no time represent themselves to be e.mployecs, servants, agents,
and/or representatives of MUNICIPALITY.
VTI.
For the services rendered during the 2009 tax year, MUNICIPALITY agrees to
pay COUNTY for the receipting, bookkeeping, issuing, and mailing of tax statements as
1 follows:
1. The current tax statements will be mailed on or about October 20th or as
soon thereafter as practical. The fee for this service will be a rate not to exceed Seventy-
:[our Cents ($.74) per statement. . If MUNICIPALITY does not adopt a tax rate before
September 29, 2009, the tax rate for MUNICIPALITY will be set at the lower of the
effective tax rate calculated for that year or the tax rate adopted by MUNICIPALITY for
the preceding tax year. Before the fifth clay after. establishment of a tax rate under this
provision, MUNICIPALITY must ratify the applicable tax rate in the manner required
by Article 26.05(b) of the Texas Tax Code.
2. MUNICIPALITY understands and, agrees that COUNTY will assess a
surcharge for each parcel (account) that is physically outside the geographical limits of
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the COUNTY. The surcharge will be a fee not to exceed twenty-five cents ($.25) per
parcel and will be billed to MUNICIPALITY in the month of December.
3. COUNTY will mail an additional notice during the month of March
following the initial mailing provided that MUNICIPALITY has requested such a notice
on or before February 28th. The fee for this service will be a rate not to exceed Seventy-
four Cents ($.74) per statement.
4. At least 30 days, but no more than 60 days, prior to April 1st, and
following the initial mailing, COUNTY shall mail a delinquent tax statement meeting the
requirements of Section. 33.11 of the Texas Property Tax Code to the owner of each
parcel. The fee for this service will be a rate not to exceed Severity-four Cents ($.74) per
statement
5. At least 30 days, but no more than 60 days, prior to July 1 st, and following
the initial mailing, COUNTY will mail a delinquent tax statement meeting the
requirements of Section 33.07 of the 'Texas Property Tax Code will be mailed. The fee
for this service will be a rate not to exceed Seventy-four Cents ($.74) per statement.
6. In event of a successful rollback election which takes place after tax bills
for MUNICIPALITY have been mailed, MUNICIPALITY agrees to pay COUNTY a
programming charge of $5,000.00. COUNTY will mail corrected statements to the
owner of each parcel. COUN'T'Y will charge a fee for thisservice will be a rate not to
exceed Seventy-four Cents ($.74) per statement. When a refund is required per Property
Tax Code Section 26.07 (g), COUN'T'Y will charge a $.25 processing fee per check, in
addition to the corrected statement mailing costs. Issuance of refunds, in the event of a
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successful rollback election, will be the responsibility of the COUNTY.
- MUNICIPALITY will be billed for the refunds, postage and processing fees.
7. MUNICIPALITY understands and agrees that COUNTY will bill
MUNICIPALITY following each mailing for which charges are permitted. Payment is
due upon receipt of the statement. If MUNICIPALITY fails to pay COUNTY for
mailing fees by the 61" day after billing, COUNT' will withhold the billed amount from
collections to satisfy the debt by authority of Section 6.27 of the Texas Property Tax
Code.
S. MUNICIPALITY further understands and agrees that COUNTY ,(at its
sole discretion) may increase or decrease the amounts charged to MUNICIPALITY for
any renewal year of this Agreement, provided that COUN'T'Y gives written notice to
MUNICIPALITY sixty (60) days prior to the expiration date of the initial term of the
Agreement.
VIII.
COUNTY agrees to remit all taxes, penalties, and. interest collected on
MUNICIPALITY'S behalf and to deposit such funds into the MUNICIPA.L,ITY's
depositories as designated:
i. For deposits of tart, penalties, and interest, payment shall be by wire
transfer or by cheek sent by mail to MUNICIPALITY's depository accounts only, and
segregated into the appropriate MO and 1S accounts.
2. If MUNICIPALITY uses the same depository as COUNTY, the deposits
of tax, penalty and interest shall be by deposit transfer.
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3. In anticipation of renewal of this Agreement, COUNTY further agrees
that from October 1, 2009 through March 31, 2010, deposits will be made daily and from
April 1, 201.0, through September 30, 201.0, deposits will be made weekly. For end of
month reporting, there will be a deposit made at the end of each month. It is expressly
understood, however, that this obligation of COUNTY shall not survive termination of
this Agreement, whether by termination by either party or by :Failure of the parties to
renew this Agreement.
IX,
In the event of termination, the withdrawing party shall be obligated to make such
payments as are required by this Agreement through the balance of the lax year in which
notice is given. COUNTY shall be obligated to provide services pursuant to this
Agreement, during such period.
r X.
't`his Agreement represents the entire agreement between MUNICIPALITY and
COUNTY and supersedes all prior negotiations, representations, and/or agreernents,
either written or oral. This Agreement may be amended only. by written instrument
sighed by the governing bodies of both MUNICIPALITY and COUNTY or those
authorized to sign on behalf of those governing bodies.
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X1.
Any and all written notices required to be given under this Agreement shall be delivered
or mailed to the listed addresses:
COUNTY:
County Judge of Denton County
110 West Hickory
Denton, Texas 76201
Telephone 940-349-2820
MUNICIPALITY:
The City/Town of The Colony
6800 Main Street
The Colony, Texas 75056
Telephone: 972-624.1756
Contact: Joe McCourry
X11.
MUNICIPALITY hereby designates ~►~~~'n layho act on behalf
of MUNICIPALITY, and to serve as Liaison for MUNICIPALITY to ensure the
performance of all duties and obligations of MUNICIPALITY as stated in this
Agreement. MUNICIPALITY's designee shall devote sufficient time and attention to
the execution of said duties on behalf of MUNICIPALITY in fir]] compliance with the
terms and conditions of this Agreement; shall provide immediate and direct supervision
of the MUNICIPALITY employees, agents, contractors, subcontractors, and/or laborers,
if any, in the furtherance of the purposes, terms and conditions of this Agreement for the
mutual benefit of MUNICIPALITY and COUNTY.
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XIII.
Tn the event that any portion of this Agreement shall be found to be contrary to
law, it is the intent of the parties that the remaining portions %hall remain valid and in full
:force and effect to the extent possible.
XIV.
The undersigned officers and/or agents of the parties are the properly authorized
officials and have the necessary authority to execute this agreement on behalf of the
.parties. Each party hereby certifies to the other that any resolutions necessary for this
Agreement have been duly passed and are now in full force and effect.
Executed in duplicate originals this, 20th day of __,Lujy 2009.
COUNTY MUNICIPALITY
Denton County City/Town of The Colony
110 West Hickory 6800 Main Street
Denton, Te, s 203 The Colony, Texas 75056
BY:
1•lorxb.rable Mary ym
Nam
e: Dale Cheatham
Dent6h County JTitle: City Manag L _
ATTIIT:,, ATTEST:
• , w ~+c,i,L ~ 7 t
-rAAel
B Y:
'S'ni . a tchell Name Clvr, istie Wilson
Trenton C unty Clerk Title City Secretary
APPROVED FORM CAFP: VED T ORM:
c
Steve Mossman Kim Gilles
Denton County Denton County
Tax Assessor/Collector Assistant District Attomey
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