HomeMy WebLinkAboutItem 13 - Municipal Court Fines and FeesRenewal of Contract for collection of overdue Municipal Court fines and fees
Linebarger, Goggan, Blair & Simpson, LLP
LINEBARGER GOGGAN BLAIR & SAMPSON, LLP
ATTORNEYS AT LAW
1949 SOUTH I.H. 35 (78741)
P. O. BOX 17428
AUSTIN, TEXAS (78760)
512/447-6675
FAX 512/447-3923
October 9, 2006
Mr. Bill Gaither
Director of Administrative Services
City of Grapevine
200 South Main Street
Grapevine, Texas 76051
Re: Collection Services renewal — Municipal Court
Dear Mr. Gaither,
The City Council on September 7, 2004 extended the initial term of the contract for an additional
two-year period. The contract renewal term expired on September 7, 2006 and we are currently
on a month-to-month basis. We would like for the Council to consider renewing our current
contract for another two-year term. We have been providing collection services for the Municipal
Court since April 2002.
As of 09/10/06, the Municipal Court has placed with the law firm 11,711 citations for
$4,208,034. The law firm has collected 1,967 cases for $582,483 (cash payment cases) with a
collection recovery rate of 16.20% (by dollars) and 19.5% (by accounts). Of the $4,208,034
amount, $1,798,699 in delinquent debt was cleared through cash payments, bond forfeitures, and
other non-cash credits received by the Court. The recovery rates for those debts are 49.9% (by
dollars) and 49.8% (by cases). The firm assisted the Court on 3,068 cases (non-cash credit) for
$1,216,216. The non-cash credit cases are time served, community services or police interaction
cases in which the law firm does not receive a fee on these cases. As of 9/10/06 the law firm has
received fees for collection services in the amount of $59,026.38.
Of those 11,711 citations referred for collections; 6,029 cases were 3 + years, 1,819 were 2-3
years and 2,105 were 1-2 years delinquent. As we discussed before, typically in the collection
industry, the older the debt is - the harder it is to collect. The collection recovery rates are a total
of all backlog cases (1+ years and older) and current cases (1 year or less). Please keep in mind
that these numbers could fluctuate as the Court receives payments and we may have not received
the transaction placement to update this 9/10/06 collection report.
I believe our collection recovery rates are good considering that most of the cases are two years
and older. As always, our goal is to maximize collections for the Municipal Court and the City.
Glenn Lewis, Sophronia Johnson and I look forward to continuing our services and relationships
with the City of Grapevine.
If you have any questions or concerns regarding this matter, please let me know.
Sincerely,
Dan Romo
Account Representative
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS, APPROVING AN EXTENSTION OF
THE CONTRACT FOR COURT FINES AND FEES
COLLECTION SERVICES WITH LINEBARGER, GOGGAN,
BLAIR & SAMPSON, L.L.P. AND PROVIDING AN
EFFECTIVE DATE
WHEREAS, the City of Grapevine City Council approved a Contract for Court
Fees and Fines Collection Services with the firm Linebarger, Goggan, Blair &
Sampson, L.L.P. (the "Contract") on February 5, 2002; and
WHEREAS, the Contract provides for a two year initial term and a City option
to extend the Contract for two additional two year terms; and
WHEREAS, the City wishes to extend the Contract by one additional two
year term.
Section 1. That all matters stated in the preamble are true and correct as
if copied herein in their entirety.
Section 2. That the City of Grapevine hereby approves the extension of
the Contract for one additional two year term, and authorizes the City Manager, or
his designee, to execute any documents necessary to execute such extension.
Section 3. That this resolution shall take effect from and after the date of
its passage.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 17th day of October, 2006.
F.-ToijoKofflm"
William D. Tate
Mayor
ATTEST:
Linda Huff
City Secretary
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