City council unanimously approved a resolution that authorizes the city to sell delinquent real estate tax claims to the firm in an arrangement that allows the city to collect an up-front payment that is expected to generate about
The arrangement ensures the city will receive an up-front payment for its delinquent tax accounts at a cost of 10 percent of the value of the delinquent accounts, according to Hahn. The up-front payment gives the city a cash-flow advantage when compared with the city alternatively collecting delinquent accounts on its own, Hahn said.
"They're basically giving us a line of credit for about 90 percent of the delinquent money," Hahn explained. "Then, they charge on top of that a 10 percent fee to put the deal together. It's a pretty hefty cost to get the money but you get it all in at one time -- in a lump sum -- rather than spread out over two years in dribs and drabs."
Council's approval ensures the city will participate in the program for an eighth consecutive year, Hahn noted.
Under the arrangement, Northeast Revenue collects delinquent taxes on behalf of
"We'll just do it this year and next year we can do something different to bring in more revenue," Mundie said.
Council unanimously approved a resolution recognizing
"Council wishes to thank her for her dedication and passion in helping those individuals with developmental disabilities, and wishes her all the best in her retirement," the resolution reads.
A resolution that would've set a fee for maintaining the storm water collection system for 2014 failed after the governing body did not present it for a vote.
The resolution would've set a base fee of
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