July 20, 2017 City Council Regular Meeting
Title
Motion to Award Annual Contract for Delinquent Tax Collection Services to Delinquent Tax Services, Inc. (Event No. 4799)
Description

Recommend approval to award a contract for the management of the City of Savannah's delinquent property tax collection program to Delinquent Tax Services, Inc. in the estimated amount of $104,800.00. The services will include the pursuit of delinquent taxes via standard collection notices, filing of tax executions, and searches for bankruptcy filings and lien holders.

The collection process will be cost neutral to the City with all costs for processing, materials, postage, and services at the expense of the contractor. The costs will be recovered by a flat fee from the taxpayers when delinquent accounts are paid in full to the City. The flat fee is $30.00 per collection with a balance of less than $50.00 and $55.00 per collection with a balance of more than $50.00. For accounts at the levy and tax sale status, fees will be $185.00 (maximum) per collection. In fiscal year 2016 the delinquent tax collection services contract helped the City recover $4.48 million in delinquent real property taxes. 

The contract term will be from July 20, 2017 through July 19, 2018.

Recommendation

Approval 

Contact
Heath Lloyd, Acting Revenue Director
Financial Impact
Estimated amount of $104,800, to be recovered through delinquent tax collections.
Review Comments
Attachments
Delinquent Tax Funding Verification.pdf
Delinquent Tax Scope.pdf
Delinquent Tax Purchasing Summary.pdf
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