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HomeMy WebLinkAboutOrdinance 18645-06-2009ORDINANCE NO 18645-06-2009 AN ORDINANCE AMENDING THE CODE OF THE CITY OF FORT WORTH BY AMENDING CHAPTER 10, `COURTS, BY ADDING A NEW SECTION SECTION 10-91, `COLLECTION CONTRACTS TO AUTHORIZE THE ADDITION OF COLLECTION FEES IN THE AMOUNT OF THIRTY PERCENT ON DEBTS AND ACCOUNTS RECEIVABLE ORDERED PAID BY MUNICIPAL COURT OR BY A HEARING OFFICER APPOINTED UNDER CHAPTER 682 OF THE TEXAS TRANSPORTATION CODE PROVIDING THAT THIS ORDINANCE SHALL BE CUMULATIVE, PROVIDING A SEVERABILITY CLAUSE PROVIDING A SAVINGS CLAUSE, PROVIDING A PENALTY CLAUSE PROVIDING FOR PUBLICATION AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the administration of justice requires that defendants pay fines, fees, and other costs lawfully imposed by a fudge of the Fort Worth Municipal Court or by a duly appointed Crty hearing officer and WHEREAS, failure of defendants to pay fines and other costs is a growing problem in the City of Fort Worth, and WHEREAS, state law allows the Fort Worth City Council to enter into a contract with a third-party vendor to collect delinquent fines and fees lawfully owed to the City and WHEREAS, state law also allows the Fort Worth City to authorize imposition of a collection fee ofthirty-percent on delinquent amounts referred for collection, and WHEREAS, on June 25 2002, the Fort Worth City Council adopted Ordinance 15144 which authorized imposition of a collection fee on court-ordered debts, and WHEREAS, state law now allows for referral and imposition of a collection fee for delinquent amounts that were ordered paid by a heanng officer appointed under Chapter 682 of the Texas Transportation Code; and WHEREAS, the Fort Worth City Council finds rt advisable to authorize collection fees in accordance with state law so that the costs of collection are borne by those individuals causing those costs rather than by taxpayers. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS, AS FOLLOWS SECTION 1 That Section 10-9 `Collection Contracts, of Chapter 10 `Courts, of the Code of the City of Fort Worth (1986), as amended, is hereby amended to add a new subsection, Section 10- 9 1 `Collections Contracts" to read as follows. Sec. 10-9 1 Collection Contracts (a) Pursuant to Article 103 0031 of the Code of Criminal Procedure, the addition of collection fees in the amount of thirty percent is hereby authorized on each debt or account receivable, such as fines, fees, restitution and other debts or costs, (other than forfeited bonds) that is ordered to be paid by the municipal court or by a city hearing officer appointed under Chapter 682 of the Texas Transportation Code and that is more than sixty days past due and that has been referred to an attorney or vendor for collection. (b) A defendant is not liable for the collection fees under Subsection (a) if the court or hearing officer of original jurisdiction has determined the defendant is indigent, or has insufficient resources or income or is otherwise unable to pay all or part of the underlying fine or costs. SECTION 2. This ordinance shall be cumulative of all provisions of ordinances and of the Code of the City of Fort Worth, Texas (1986), as amended, except where the provisions of this ordinance are m direct conflict with the provisions of such ordinances and such Code, in which event conflicting provisions of such ordinances and such Code are hereby repealed. 2 SECTION 3. It is hereby declared to be the intention of the City Council that the sections, paragraphs, sentences, clauses and phrases of this ordinance are severable, and, if any phrase, clause, sentence, paragraph or section of this ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent ~unsdiction, such unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the Crty Council without the incorporation m this ordinance of any such unconstitutional phrase, clause, sentence, paragraph ox section. SECTION 4 All nghts and remedies of the City of Fort Worth, Texas, are expressly saved as to any and all violations of the provisions of the ordinances amended herein, which have accrued at the time of the effective date of this ordinance and, as to such accrued violations and all pending litigation, both civil and cnmmal, whether pending m court or not, under such ordinances, same shall not be affected by this ordinance but may be prosecuted until final disposition by the courts. SECTION 5. Any person, firm or corporation, unless determined to be indigent, whose debt or account receivable, as a result of fines, fees, restitution, and other debts or costs imposed by a fudge of the Fort Worth Municipal Court or by a City hearing officer appointed under Chapter 682 of the Texas Transportation Code, is more than sixty days past due and has been referred to an attorney or vendor for collection shall be assessed a collection fee in the amount of thirty percent on each debt or account receivable. 3 SECTION 6. The City Secretary of the City of Fort Worth, Texas, is hereby directed to publish the caption, penalty clause and effective date of this ordinance for two (2) days in the official newspaper of the City of Fort Worth, Texas, as authorized by Section 52 013 Texas Local Government Code. SECTION 7 This ordinance shall take effect upon adoption and publication as required by law APPROVED A~ TO FORM AND LEGALITY ADOPTED June 2.2009 EFFECTNE ~U -4- ORDINANCE NO 18645-06-2009 /ur ~~ ORDINANCE NO. AN ORDINANCE ADDING SECTION 10-9 TO CHAPTER 10, COURTS, OF THE CODE OF THE CITY OF FORT WORTH (1986), AS AMENDED, TO AUTHORIZE THE ADDITION OF COLLECTION FEES IN THE AMOUNT OF THIItTY PERCENT ON FINES, FEES, RETITUTION AND OTHER DEBTS OR COSTS., ORDERED TO BE PAID BY THE COURT PROVIDING THAT THLS ORDINANCE SHALL BE CUMULATIVE OF OTHER CITY ORDINANCES AND REPEALING ORDINANCES IN CONFLICT HEREWITH; PROVIDING A SEVERABILITY CLAUSE; PROVIDING FOR PUBLICATION AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION 1. Section 10-9 of Chapter 10, `Courts" of the Code of the City of Port Worth (1986), as amended, is hereby added to allow the addition of collection fees in the amount of thirty percent on all fines, fees, restitution, and other debts or costs ordered to be paid by the court to read as follows. Sec. 10-9 Collection Contracts (a) Pursuant to Article 103.0031 of the Code of Criminal Procedure, the addition of collection fees in the amount of thirty percent is hereby authorized on each debt or account receivable, such as fines, fees, restitution and other debts or costs, (other than forfeited bonds) that are ordered to be paid by the court and that is more than sixty days past due and has been referred to an attorney or vendor for collection. (b) A defendant is not liable for the collection fees under Subsection (a) if the court of original jurisdiction has determined the defendant is indigent, or has insufficient resources or income or is otherwise unable to pay all or part of the underlying fine or costs. SECTION 2. That this ordinance shall be cumulative of all .provisions of ordinances and of the Code of the City of Fort Worth, Texas (1986), as amended, except where the provisions of this ordinance are in direct conflict with the provisions of such ordinances and Code, ORDINANCE NO 18645-06-2009 in which event such conflicting provisions of such ordinances and Code are hereby repealed. SECTION 3. It is hereby declared to be the intention of the City Council that the sections, paragraphs, sentences, clauses and phrases of this ordinance are severable, and, if any phrase, clause, sentence, paragraph or section of this ordinance shall be declared void, ineffective or unconstitutional by the valid judgment or final decree of a court of competent jurisdiction, such ineffectiveness or unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the City Council without the incorporation herein of any such void, ineffective or unconstitutional phrase, clause, sentence, paragraph or section. SECTION 4. That the City Secretary of the City of Fort Worth, Texas is hereby directed to publish this ordinance for two (2) days in the official newspaper of the City of Fort Worth, Texas, as authorized by V T C.A. Local Government Code Subsection 52.013 SECTION 5. This ordinance shall take effect upon adoption and publication as required by law APPROVED AS TO FORM AND LEGALITY David ,City Attorn y By ~- .P~cu ~ Assistant Cit A orney ADOPTED• EFFECTIVE. City of Fort Worth, Texas Mayor and Council Communication a. COUNCIL .ACTION: Approved on 6/2/2009 -Ord. No. 1$645-06-2009 DATE Tuesday June 02 2009 LOG NAME 38000RTCOLLECT REFERENCE NO C-23565 SUBJECT Authorize a Professional Services Contract with Linebarger Goggan Blair and Sampson LLP for Collection of Delinquent Parking. and Criminal Citations and Adoption of Ordinance Amending Chapter 10 of the City Code to Permit Collections of Fees for Delinquent Amounts Ordered by a Hearing Officer RECOMMENDATION It is recommended that the City Council 1 Authorize the City Manager to negotiate and execute a contract with the law firm of Linebarger Goggan Blair and Sampson LLP for the collection of delinquent civil parking and criminal citations 2 Authorize the contract to begin August 1 2009 and expire July 31 2010 with two one year renewal options and 3 Adopt the attached ordinance amending Ordinance No 15144 and authorizing the addition of collection fees in the amount of 30 percent on debts and accounts receivable such as unpaid fines fees, court costs forfeited bonds and restitution ordered paid by the Municipal Court or by the hearing officer appointed under Chapter 682 of the Texas Transportation Code DISCUSSION In an effort to improve collection of delinquent civil parking and criminal citations the Municipal Court Services Department issued a request for proposal (RFP) for collection services on August 14 2008 Third party collection services were previously discontinued in September 2005 to prepare for the implementation of the Court View case management system Eleven proposals were received and evaluated by a team composed of staff from Municipal Court, Finance Internal Audit and the M/WBE Office A thorough review of the proposals was conducted using the following criteria collection rates cost to the City of Fort Worth qualifications and experience completeness and quality of the response M/WBE compliance and staff and technology resources Based on the evaluations and interviews staff recommends negotiating and executing a contract with Linebarger Goggan Blair and Sampson LLP at no direct cost to the City Article 103 0031 of the Code of Criminal Procedure allows the City Council to enter into a collections contract with a third party and to authorize the addition of a 30 percent collection fee on certain types of debts referred for collection On June 25 2002 the Fort Worth City Council adopted Ordinance No 15144 which authorized imposition of the collection fee on court-ordered debts Staff recommends amending that ordinance to conform with changes in State law and to authorize imposing the collection fee on amounts ordered to be paid by the City's hearing officer who is appointed under Chapter 682 of the Transportation Code so that delinquent parking citations would also be subject Logname 38COURTCOLLECT Page 1 of 2 to the collection fee Imposing a 30 percent fee on delinquent debts referred to a third party collector allows for compensation of the collector by the defendant rather than through direct expenditure of City funds Under the proposed contracts delinquent amounts with an offense date on or after June 18 2003 that are subject to the 30 percent fee would be referred to the collection agency Defendants would receive collection notices indicating amounts due (including the collections fee) and would make payments directly to the Municipal Count. If less than full payment is received amounts due to the collection agency would be reduced proportionately The Municipal Court will be responsible for processing payments made by defendants and for tracking and monitoring activity and reconciling the collection fee due to Linebarger Goggan Blair and Sampson LLP Linebarger Goggan Blair and Sampson LLP is in compliance with the City's M/WBE Ordinance by committing to five percent M/WBE participation on this project. The City's goal on this project is five percent. FISCAL INFORMATION /CERTIFICATION The Financial Management Services Director certifies that this action will have no material effect on City funds FUND CENTERS TO Fund/Account/Centers FROM Fund/Account/Centers CERTIFICATIONS Submitted for City Manager's Office bv• Originating Department Head Charles Daniels (6183) Deidra Emerson (6711) Additional Information Contact: Logname• 38COURTCOLLECT Deidra Emerson (6711) Page 2 of 2