[Adopted 4-12-2012 by Ord. No. 998]
The taxing district designates Pennsylvania Municipal Service
Company as its exclusive agent for purposes of collecting delinquent
per capita taxes and delinquent (2011 tax year and prior) earned income
and local services taxes, as well as any and all penalties, interest
and costs assessed and levied pursuant to all resolutions and/or ordinances
respecting said taxes, during the period of this agreement.
The taxing district hereby designates and authorizes Pennsylvania
Municipal Service Company by and through its legal counsel to appear
before any Magisterial District Judge ("MDJ") or any other appropriate
court on behalf of the taxing district in those cases in which Pennsylvania
Municipal Service Company determines legal action would be appropriate
means of collecting the delinquent per capita taxes and delinquent
(2011 tax year and prior) earned income and local services taxes and
any penalties, interest, costs and reasonable costs due and owing.
A.
Because the Local Tax Enabling Act[1] allows a taxing district to approve reasonable costs ("reasonable
costs") which may be imposed on the delinquent taxpayer, collected
and retained by the delinquent Tax Collector, and further provides
that the Tax Collector shall remit to the Borough an itemized accounting
of all such costs on an annual basis, the Borough of Charleroi desires
to exercise all of its legal authority in accordance with the legislative
pronouncements set forth in the Local Tax Enabling Act to encourage
the collection of delinquent taxes and to eliminate the expense associated
with such collections by imposing the reasonable costs on the delinquent
taxpayer;
[1]
Editor's Note: See 53 P.S. § 6924.101 et seq.
B.
The taxing district and Pennsylvania Municipal Service Company agree
as follows:
(1)
The taxing district designates Pennsylvania Municipal Service Company
as its exclusive agent for purposes of collecting delinquent per capita
taxes and delinquent (2011 tax year and prior) earned income and local
services taxes, including all penalties, interest, costs, reasonable
costs, attorney fees, etc., assessed and levied pursuant to the Borough's
ordinances.
(2)
In addition to the compensation payable to Pennsylvania Municipal
Service Company from the taxing district, the taxing district set
forth approves the following reasonable costs to be paid to Pennsylvania
Municipal Service Company by the delinquent taxpayer:
(a)
A sum not to exceed 10% of gross collections of all delinquent
per capita taxes and delinquent (2011 tax year and prior) earned income
and local services taxes, plus delinquent costs, prior to the initiation
of enforced collection proceedings before the Magisterial District
Judge (MDJ) or other court, and the amount not to exceed 25% of gross
collections on or after the initiation of enforced collection proceedings
before the Magisterial District Judge (MDJ) or any other court. Said
amount shall be deemed reasonable costs to provide notices of delinquency
and/or to implement similar procedures to collect delinquent per capita
taxes and delinquent (2011 tax year and prior) earned income and local
services taxes.[2]
(b)
For purposes of this provision, the term "gross collections"
shall mean the original tax plus applicable penalties and interest.
(c)
In addition to the amounts set forth in Subsection B(2)(a) and (b), any attorneys' fees related to collection of delinquent taxes, interest, penalty or other charges shall be paid by the delinquent taxpayer as part of the reasonable costs to be paid to Pennsylvania Municipal Service Company by the delinquent taxpayer.
(d)
Such reasonable costs, together with and including costs, reimbursement
for postage and other out-of-pocket expenses, shall be collected directly
from the delinquent taxpayers in accordance with the Local Tax Enabling
Act and all other applicable laws.
(e)
Pursuant to 53 P.S. § 6924.707(a), an itemized accounting
of costs shall be remitted to the Borough on no less than an annual
basis.
