Legal Services

	“We keep getting bids from a resident who owes the county money in unpaid property taxes. Can we refuse to do buisness with them?”

May the county refuse to enter into a contract with a person indebted to the country?

Pursuant to Local Government Code §262.0276, the commissioners court may adopt rules permitting the county to refuse to enter a contract or other transaction with a person who owes a debt to the county. The commissioners court must first publish notice in a newspaper of general circulation in the county. Then the rules must be adopted in an order and entered in the commissioners court minutes.

A “person” could include an individual, a sole proprietorship, corporation, nonprofit corporation, partnership, joint venture, limited liability company, and any other entity that seeks to enter a contract with the county. For more information, see our Procurement Handbook.