Uncollectable Fees - House Bill 435

House Bill 435 by State Rep. Matt Shaheen will allow an officer of a municipal court the authority to request from the trial court that heard a criminal case and assessed a fee to deem the fee as uncollectable under certain circumstances.

The City of Houston and Counties around the state of Texas routinely collect fines, fees, or court costs as allowed by rulings in trial courts. In many cases, court-ordered fees are collected expediently. However, defendants who are deceased or serving a life-long prison sentence, however, cannot pay these fees.

A recent report revealed substantial quantities of uncollectible fees over the past five years, and the City of Houston Municipal Courts Department and counties around Texas contend the costs of collecting these fees outweighs the fees' value. The City of Houston feels they should have the authority to remove these uncollectible fees from their record books.

HB 435 allows the City to request from the trial court that heard the criminal case and assessed the fee, that the fee be deemed uncollectible. It provides that a fee is uncollectible if the officer believes the defendant is deceased, serving a life sentence or life without parole, or the fee has been unpaid for at least 15 years. The bill further provides that the officer shall attach a copy of the court's order to the fee record.

Based on the current value of the collections compliment for the Municipal Courts, the City of Houston estimates that the change in law would decrease postage and administrative costs to our internal and external collectors by approximately $325,000 annually.

These changes allow the City to cease wasteful collection efforts and better represent their fee record. Governor Abbott signed HB 435 into law May 23, 2019, and goes into effect September 1, 2019.