INTERLOCAL AGREEMENT FOR USE OF PROPERTY TAX COLLECTIONS TO FUND EXEMPTION AUDIT SERVICESInterlocal Agreement for Use of Property Tax Collections to Fund
Exemption Audit Services
THIS AGREEMENT is made and entered into as of the date of execution by each Party,
below, by and between the PINELLAS COUNTY PROPERTY APPRAISER ( "PROPERTY
APPRAISER "), PINELLAS COUNTY TAX COLLECTOR ( "TAX COLLECTOR"), and the
undersigned Local Governing Boards of the TAXING AUTHORITIES of Pinellas County,
hereinafter referred to collectively as the "TAXING AUTHORITIES." This agreement shall
hereinafter be referred to as the "Interlocal Agreement."
WHEREAS, the PROPERTY APPRAISER is responsible under Florida law for
the administration of ad valorem property tax exemptions, including homestead exemption, and
the preparing and filing of tax liens for back taxes related to the removal of undeserved
exemptions; and
WHEREAS, the TAX COLLECTOR is responsible under Florida law for the collection
and distribution of ad valorem property taxes, including back taxes and tax liens, and associated
penalties, fees, and interest; and
WHEREAS, the TAXING AUTHORITIES receive local property tax revenue to fund
essential public services; and
WHEREAS, the Parties to this Interlocal Agreement recognize that there may be property
owners on the Pinellas County tax roll claiming undeserved personal exemptions from ad
valorem property tax, such as the Homestead Exemption, (hereinafter collectively referred to as
"Personal Exemptions "), which reduces property tax revenue and unfairly shifts the property tax
burden to other property owners; and
WHEREAS, the PROPERTY APPRAISER and TAX COLLECTOR have contracted
with TAX MANAGEMENT ASSOCIATES, INC. ( "TMA ") for audit services to identify
properties with undeserved Personal Exemptions for the purpose of collecting taxes due on those
properties, which funds would otherwise be unavailable to the TAXING AUTHORITIES (the
"TMA Audit Agreement "); and
WHEREAS, TMA shall provide said audit services in exchange for the Fee established in
the TMA Audit Agreement (hereinafter, the "Fee "), which consists of an amount equal to thirty
percent (30 %) of any tax, penalties, and interest collected from back taxes assessed or tax liens
filed by the PROPERTY APPRAISER on parcels identified through a TMA audit as having
undeserved Personal Exemption(s); and
WHEREAS, the Fee shall be paid exclusively from the taxes, penalties, and interest
collected in relation to the removal of Personal Exemptions as a result of Audits performed by
TMA, and shall not constitute a pledge or general obligation of tax funds or create an obligation
on the TAXING AUTHORITIES to appropriate or make monies available for the purpose of the
Agreement beyond the fiscal year in which the Agreement is executed; and
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NOW, THEREFORE, the PROPERTY APPRAISER, TAX COLLECTOR, and
undersigned TAXING AUTHORITIES agree as follows:
TERMS
This Agreement sets out the terms governing the reduction of penalties and interest
accruing on back - assessed ad valorem tax, which is allocated to the TAXING AUTHORITIES
upon the payment of a lien for improper homestead exemption, for the payment of Fees set forth
in the TMA Audit Agreement.
1. Incorporation of the TMA Audit Agreement: The TMA Audit Agreement
is hereby incorporated by reference into this Agreement for the purpose of establishing
TMA's services, duties, and Fees.
2. Authorization of Reduced Collections for Fee Payment:
The TAXING AUTHORITIES authorize the TAX COLLECTOR to deduct
TMA's Fee, as established in the TMA Audit Agreement, from the total property tax,
penalties and interest collected as the result of the removal of Personal Exemption(s)
pursuant to TMA audits. The TAX COLLECTOR shall distribute the remaining tax
revenue to the TAXING AUTHORITIES according to governing Florida law.
This Interlocal Agreement does not constitute a pledge or general obligation of ad
valorem taxation, or create any obligation on any TAXING AUTHORITY to appropriate
or make monies available for any tax year, and does not create the right in any party to
compel the exercise of the ad valorem taxing power of any TAXING AUTHORITY.
The TAX COLLECTOR shall annually make available to each TAXING
AUTHORITY an accounting of all tax proceeds collected pursuant to the TMA Audit
Agreement, the Fees paid to TMA, and the total funds distributed to the TAXING
AUTHORITY.
3. Termination: This Interlocal Agreement shall automatically renew
annually on the anniversary of the date executed by an individual TAXING
AUTHORITY, until such time as the TMA Audit Agreement is either terminated or
otherwise expires. Upon termination or expiration of the TMA Audit Agreement, this
Interlocal Agreement automatically expires.
In the event of termination, all Audits assigned to TMA and on which TMA has
initiated work or expended resources, shall be completed by TMA and all Fees for
completed Audits shall be payable in accordance with the terms as provided by the TMA
Audit Agreement. Because tax liens may not be paid within the term of the Interlocal
Agreement, the authorization of reduced collections for Fee payment shall survive the
termination of the Interlocal Agreement term, and shall terminate upon the later of the
collection and payment of all liens related to TMA Audits, or the expiration of such liens
as a matter of Florida law.
An individual TAXING AUTHORITY that is a party to this Agreement may opt
out of this Agreement provided it notifies the PROPERTY APPRAISER and TAX
COLLECTOR in writing within ninety (90) days of the end of a fiscal year. The option
shall be effective upon the first day of the following fiscal year. In the event of such
termination, Fees for all Audits completed by TMA in effected tax districts up to the date
of the notification of termination shall be payable in accordance with the terms provided
by the TMA Audit Agreement.
Should any provision, portion, or application of this Agreement be determined by
a court of competent jurisdiction to be illegal, unenforceable, or in conflict with any
applicable law or constitutional provision, or should future changes to Florida law
conflict with any portion of this Agreement, the Parties shall negotiate an equitable
adjustment in the affected provisions of this Agreement with a view toward effecting the
purpose of this Agreement, and the validity and enforceability of the remaining
provisions, portions, or applications thereof, shall not be impaired. If a future change to
Florida law conflicts with or preempts the entirety of this agreement, the agreement will
be immediately terminated, subject to the termination provisions herein.
4. Notice: Any notice required to be given under this Interlocal Agreement
shall be made in writing and sent by first class mail, postage paid, or by hand delivery to,
the contact and address for the Party as it appears on the signatory page of this Interlocal
Agreement.
5. Applicable Law: The terms and conditions of this Interlocal Agreement
shall be governed by the laws of the State of Florida.
6. Sole Benefit: This Interlocal Agreement is for the sole benefit of the
Parties hereto, and in no event shall this Interlocal Agreement be construed to be for the
benefit of any third party, nor shall any Party be liable for any loss, liability, damages or
expenses to any person not a Party to this Interlocal Agreement.
7. Headings: Headings herein are for convenience of reference only and shall
not be considered in any inteipnetation of this Interlocal Agreement.
8. Execution: The Parties agree that this Interlocal Agreement may be signed
in counterparts.
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IN WITNESS WHEREOF, the Parties hereto have caused this Interlocal Agreement to be
properly executed on the day and year executed by each Party, as indicated by signature date.
ERTY APP SER:
PAM DUBOV, CFA, CAE
PROPERTY APPRAISER
315 COURT ST. 2"d FLOOR
CLEARWATER, FL 33756
727 - 464 -4295
pam @pcpao.org
TAX COLLECTOR:
DIANE NELSON, C
TAX COLLECTOR
315 COURT ST. 3rd FLOOR
CLEARWATER, FL 33756
727 -464 -7777
taxcollector@taxcollect.com
DATE:
to -cam -r•
DATE: 105 /,§-.
APPROVED AS TO LEGAL FORM BY THE PINELLAS COUNTY ATTORNEY'S OFFICE.
For the Property rais - :
Signature:
anda S. Co : istant County Attorney
For the Tax Coll tor:
Signature: Lr/�
William C. Fallcner, Sr. Assistant County Attorney
4
IN WITNESS WHEREOF, the parties hereto have caused this Interlocal Agreement to be
properly executed on the day and year executed by each Party, as indicated by signature date.
TAXING AUTHORITY NAME:
AUTHORIZED SIGNATURE:
PRINT NAME:
TITLE:
DATE SIGNED:
PRIMARY CONTACT:
ADDRESS l:
ADDRESS 2:
CITY, STATE, ZIP:
PHONE:
EMAIL:
Countersigned:
ke0(kC^GC \traS
City of Clearwater
George N. Cretekos
Mayor
Approved as to form:
CITY OF CLEARWATER, FLORIDA
By:
Attest:
th
William B. Horne 1I
City Manager
OIC cc. (..)
Pam Akin Rosemarie Call
City Attorney City Clerk
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