Pharr delinquent-tax firm reports more than $1.3 million collected in fiscal year

A municipal collection firm reported to the Pharr City Commission on Feb. 2 that it collected more than $1.3 million in delinquent municipal taxes for the city during the fiscal period Oct. 1, 2024—6/30/2025.

Kelly Salazar, speaking for Linebarger, Goggin, Blair & Sampson, said the program focuses first on collecting from individual taxpayers and uses litigation only as a last resort. Salazar reported roughly $1,000,000 in base tax collected and about $328,000 in penalty and interest for total collections above $1,300,000. The firm sent about 9,500 mailings, made and received over 3,200 phone calls, conducted 199 door knocks in Pharr, and processed 250 payoff requests.

Regarding litigation, Salazar stated the firm filed 117 lawsuits during the fiscal year and had 289 lawsuits pending on behalf of the City of Pharr, representing over $770,000 in base penalty and interest owed. The firm reported completing four tax sales and two resales during the year, placing 14 properties for sale (three sold; eight pulled due to payment agreements or full payment prior to sale).

Salazar noted that collections were up compared to the prior year both in percentage and dollar terms: "We're very happy both percentage and dollar wise," she said. She offered bilingual outreach and public presentations and said the firm regularly holds free public sessions in partnership with county offices; the next presentation for public information is scheduled in Weslaco on Feb. 11.

Commissioners asked how long the firm had been contracted; Salazar said it has been a multi-year partnership. Salazar also offered flyers and digital material for city distribution to inform residents about tax cycles and available exemptions (homestead, senior, veterans, disability).