CC MEETING: October 28, 2025
DATE: September 23, 2025
TO: Erin Rinehart, City Manager
FROM: Diana Vaughn, Chief Financial Officer
Chrystal Davis, Assistant City Manager
Title
Consider Authorizing The City Manager To Enter Into An Agreement With HdL Companies Pursuant To RFP 25-055 For Sales Tax Compliance Review And Recovery Services In An Amount Not To Exceed $110,000.00 Annually, For A Seven-Year Total Of $770,000.00.
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BACKGROUND:
The agreement with HdL Companies will assist the City with the detection, documentation, and correction of errors and omissions related to sales/use tax collections and remissions for goods and services sold and consumed within the City. These efforts have the potential to increase the City's tax revenue. Compensation to HdL Companies will be based on a percentage of the taxes successfully recovered.
On August 12, 2025, the City issued a request for proposal for these services. Notifications were posted online, previous and interested vendors were contacted, as well as advertisements placed in the Dallas Morning News. Submissions were due on September 4, 2025. Three (3) vendors submitted qualification packets.
The Finance Department reviewed and evaluated the submissions, ultimately selecting HdL Companies based on criteria related to methodology, expertise, cost and demonstrated specific experience on similar service, including a previously successful service for the City of Carrollton.
The award will be for a three-year initial term. The award also includes two additional two-year renewal options, if mutually agreed upon by the City and the vendor, for a potential seven-year total contract not to exceed $770,000.00, which includes a contingency of 10 percent.
FINANCIAL IMPLICATIONS:
Recovery fees paid to HdL Companies will be paid from sales tax collections and are included as part of the sales tax revenue budgeted each fiscal year.
IMPACT ON COMMUNITY SUSTAINABILITY:
This project supports and aligns with t...
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