HomeMy WebLinkAboutRES 85-104 R E S O L U T I O N
BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF BEAUMONT:
THAT the City Attorney be, and he is hereby, authorized to execute
on behalf of the City of Beaumont all instruments necessary to the
settlement of the bank stock cases generally styled Lamar State
Bank , et al, vs. City of Beaumont, et al, for the years 1980 through
1984 .
PASSED BY THE CITY COUNCIL of the City of Beaumont this
the day of �,'7,�4.r 1985.
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Mayor -
6.
April 4, 1985
Council Letter 402
Honorable Mayor and
Members of City Council
Subject: Settlement of Bank Stock Cases
Our legal staff has successfully concluded negotiations relative to the settle-
ment of the long-Standing cases revolving around taxation of bank stock. Our
settlement offer has been accepted by representatives of .the banks. The terms
of the settlement are as follows:
1. Plaintiffs will pay 100 percent of all taxes as
assessed for 1980 and 1981.
2. Plaintiffs will pay 51 percent of all taxes as '
assessed for 1982, 1983 and 1984.
3. All interest earned on monies held in escrow will
be retained by the City.
4. All monies timely placed in escrow by plaintiffs
in excess of assessments will be returned to
plaintiffs. All untimely payments under Article
42.08 of the Tax Code will be retained by the
city.
Although the figures relating to the final settlement have to be formally
agreed to by the County, the City and the several banks, the amount of money
that will be retained by the City from the $2 million held in reserve will
be approximately $1,615,000. We are in the process of finalizing the num-
bers and we are hopeful that the figures will be agreed to by all parties
within the next week.
It is recommended that this resolution be approved.
Karl Nollenberger
City Manager