Delinquent Tax Accounts

 

 

On Nov. 29, the city approved a contract for delinquent tax collections to the outside firm of Delgado, Acosta, Spencer, Linebarger, & Perez, L.L.P. [city council backup]

Among the provisions of the contract were:

A 5 percent increase in the penalty for delinquent taxes, from 15 percent to 20 percent for 2005 and on.

The company will pay the city $40,000 a month for use of the city's tax data.

The contract passed on a 5-4 vote. Reps Lilly, Presi Ortega, Steve Ortega and O'Rourke, and Mayor Cook, voted to approve, and Reps Byrd, Lozano, Castro, and Holguin opposed.

According to the city Web site [link],1 percent “of the outstanding levy is added monthly beginning the first month of delinquency” as interest, and as penalty 6 percent “is added for the first month of delinquency. 1% (one percent) of the levy due is added each month for months 2 through 5 of delinquency. 2% (two percent) of the levy due is added beginning the 6th month of delinquency.”

For collection costs, the 15 percent added to the levy will go to 20 percent, as noted above. The fee, previously added July 1, will be added in April, under a change in state law.

Newspaper Tree requested records for delinquent accounts held by the city's tax office, which collects for 27 taxing jurisdictions in El Paso County.

El Paso delinquent taxes total $54.8 million. The top 50 delinquent tax accounts [link], as of Sep. 30, together accounted for $3,810,668.60. All were for more than $55,000.

The records reveal a mixture of personal property -- typically business equipment, such as machinery or computers, for example -- and real property, land and buildings.

Most of the delinquent accounts in the top 50 were commercial, although a few are for residential homes. Twenty-eight were in litigation.

Some of the delinquent accounts in the top 50 are held by major corporations:

• El Paso Electric is in litigation over a $55,465.74 bill for real property at 7751 Rancho Norte, stemming from tax years 1990 and 1991.
• Furrs Supermarket Inc. owed $79,703.04 for personal property at10768 Kenworthy, stemming from tax year 2001.
• Asarco Inc., which also had delinquent accounts that were not in the top 50, owed $157,681.82 for personal property from tax year 2004. The property address was not noted on the city records.
• Thrifty Car Rental owed $167,949.08 for personal property at 222 Bassett, from tax years 2002 to 2004.

The largest delinquent account was that of Roadrunner Trucking Inc., $573,466.41 for personal property at 7440 Doniphan, for tax years 2000 to 2004.

There were two separate delinquent accounts for property at the same address: Infodisc was in litigation over $387,529.35 for personal property at 1390 Don Haskins, owed for tax years 1999 to 2003; The other account at the partly same address is 1320 1390 Don Haskins, Ltd., for real property at 1320 to 1390 Don Haskins, a charge of $377,540.15 for tax years 1999 to 2003.

The other two accounts in the top five were: F-Star Socorro, LP, 11801 Alameda, $332,194.61 for real property from 1994 to 1997, and 2002, an account that was in litigation; and Heritage Automotive Center, 5800 Montana, $191,001.11 for personal property from tax years 2003 and 2004.

A total of almost $1 million was delinquent by five accounts that show offices at the same location -- 4110 Rio Bravo:

• Unit 82 Joint Venture owed $67,326.50 for real property at 12120 Rojas, for tax year 2002.
• Montwood Pavillions One, LP owed $67,178.69 for real property at 11240 Montwood for tax years 2002 and 2004.
• 1320 1390 Don Haskins, Ltd., for real property at 1320 to 1390 Don Haskins, a charge of $377,540.15 for tax years 1999 to 2003.
• F-Star Socorro, LP, 11801 Alameda, $332,194.61 for real property from 1994 to 1997, and 2002, an account that was in litigation.
• 1240 Don Haskins, Ltd., $99,918.22 for real property at 1240 Don Haskins, for tax years 2001 and 2002.

Three of the top 50 accounts were for aircraft:

• Border City Security owed $90,882.98 for a helicopter, for tax years 1999 to 2004.
• NKL Inc. was in litigation over a bill of $81,400 for a Lear Jet, for tax years1999 to 2003.
• FJM Nevada, Inc., was in litigation over a bill of $61,086.25 for three aircrafts, for tax years 2003 and 2004.

Businessman Bob Jones, scrutinized by the federal government over his non-profit, NCED-Sahara, was in litigation over $70,877.13 owed under the account name of RADCO Development Ltd., address given only as real property on Zaragosa, for tax years 2003 and 2004. He also owed other taxes that were not in the top 50 accounts.

 

 

 

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