TITLE
Title
APPROVE CONTRACT WITH MARK D. BARDILL PC DBA ZACCHAEUS LEGAL SERVICES FOR PROPERTY TAX COLLECTION SERVICES
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SPONSOR
Sponsor
Ben Chavis
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BACKGROUND
Background
This contract will continue the County’s tax foreclosure program, started in FY 2016, for four (4) more years. Over the last four (4) years, this program has generated $5.6 million dollars in revenue and reduced the average delinquency of parcels in foreclosure from 8 1/2 to 3 1/2 years.
The expense for legal services incurred by the County under its contract with Mark D. Bardill, P.C. is normally collected in one of ways: 1) the legal fees, along with delinquent taxes, is directly sent to the attorney from sale proceeds when a foreclosed property is sold, or 2) when a taxpayer makes full payment directly to the County, the County then pays the legal fees from County funds with the expense being offset by the additional tax revenues.
There has been no price increase for legal services over the first contract term that ran from December 2016 - November 2020; similarly, the new contract will hold its pricing for four (4) years.
Budget adjustments were made during the FY 2020-21 budget process in anticipation of the increased pricing in this contract renewal. At the time of renewal, COVID-related court shutdowns and the temporary suspension of enforced collections in spring 2020 have made the revenue and expense flow under this contract harder than usual to predict for the remainder of the fiscal year. Depending on actual activity a budgetary adjustment may be needed to reflect actual expense and payment trends based on taxpayer and legal activity from this contract. County staff will continue to monitor this contract and associated expenses and bring an amendment to the Board if or when necessary later in the current fiscal year. Additionally, staff will include appropriate levels of funding for future years of the contract.
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BUDGET IMPACT
Budget Impact
NO ADDITIONAL COUNTY FUNDS REQUIRED AT THE TIME OF CONTRACT IMPLEMENTATION
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REQUESTED ACTION
Requested Action
Approve the contract with Mark D. Bardill P.C., dba Zacchaeus Legal Services, in substantial form, for the provision of property tax collection services, in the amount not to exceed $300,000 per year, for a term of four (4) years beginning December 1, 2020 through December 1, 2024, for a total amount not expected to exceed $1,200,000.
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