REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
January 23, 2024
FROM
ENSEN MASON, Auditor-Controller/Treasurer/Tax Collector
SUBJECT
Title
Agreement with First Corporate Solutions, Inc. for Tax Sale Property Parties of Interest Title Searches
End
RECOMMENDATION(S)
Recommendation
Approve Agreement with First Corporate Solutions, Inc. to provide tax sale property parties of interest title searches related to the sale of tax-defaulted properties in San Bernardino County in a total amount not to exceed $1,900,000 for the five-year period of January 23, 2024, to January 22, 2029.
(Presenter: Diana Atkeson, Assistant Auditor-Controller/Treasurer/Tax Collector, 382-7004)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Operate in a Fiscally-Responsible and Business-Like Manner.
Provide for the Safety, Health and Social Service Needs of County Residents.
FINANCIAL IMPACT
Approval of this item will not result in the use of additional Discretionary General Funding (Net County Cost). Costs for these services are fully recovered from tax sale proceeds. Sufficient appropriation and revenue are included in the Auditor-Controller/Treasurer/Tax Collector’s (ATC) 2023-24 budget and will be included in future recommended budgets.
BACKGROUND INFORMATION
Pursuant to California Revenue and Taxation Code (RTC) section 3691, the Tax Collector has the power to sell properties in tax default for five or more years in an effort to return these parcels to active property tax paying status. At least 45 days prior to, and not more than 120 days prior to, the scheduled sale, the Tax Collector is required by RTC section 3701 to notify any parties of interest of the properties subject to the sale. As defined in RTC section 4675, parties of interest are lien holders of record prior to the recordation of the tax deed to the purchaser and any person with title of record to all or any portion of the property prior to the recordation of the tax deed to the purchaser.
In order to determine the parties of interest, a title search must be conducted. An update to a title search previously performed, known as a “date down,” is completed prior to the next tax sale in the event a parcel was offered for sale and did not sell. For the August 2023 tax sale, 1,751 new title searches and 151 date downs were completed. Of those parcels searched, 586 were sold for a total amount of $10,121,150.
PROCUREMENT
On June 19, 2023, ATC issued Request for Proposal (RFP) No. ACT123-ACTT-5014 for Parties of Interest Title Searches. The RFP was posted on the County Electronic Procurement Network (ePro). No proposals were received by the July 31, 2023, bid closing date.
On September 18, 2023, after conducting additional outreach, ATC issued RFP No. ACT124-ACTT-5103 for Parties of Interest Title Searches. The RFP was posted on ePro, with the following two eligible proposals received by the bid closing date on November 6, 2023.
|
Vendor |
Location |
New Search Rate |
Date Down Rate |
|
Harmony Research |
Stockton, CA |
$130.00 - $295.00 |
$17.50 |
|
First Corporate Solutions |
Sacramento, CA |
$135.00 |
$27.50 |
Representatives from ATC evaluated the proposals. First Corporate Solutions, Inc. was the highest ranked proposer based on qualifications, technical review, and references. The evaluation team recommends an award to First Corporate Solutions, Inc. ATC did not receive a formal appeal for this solicitation.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Kristina Robb, Deputy County Counsel, 387-5455) on December 13, 2023; Risk Management (Greg Ustaszewski, Staff Analyst, 386-9008) on December 18, 2023; Purchasing (Jessica Barajas, Supervising Buyer, 387-2065) on December 14, 2023; Finance (Penelope Chang, Administrative Analyst, 387-4886) on December 27, 2023; and County Finance and Administration (Paloma Hernandez-Barker, Deputy Executive Officer, 387-5423) on December 29, 2023.