This story has been updated to clarify when the Texas Game Room Owners' Association ended their agreement with the city. 

Sullivan City is cooperating with a federal subpoena they received last month, according to the city's special counsel. 

According to attorney Eden Ramirez Jr. with the O’Hanlon, Demerath & Castillo law firm, the city received a federal subpoena for documents related to city ordinances that were adopted over the last year regarding game rooms in the city.

On Thursday, Ramirez Jr. said the city is complying with the subpoena.

“The city is cooperating with federal law enforcement agencies and preparing and turning in any documents that were requested in order to be compliant with the federal subpoena,” Ramirez Jr. said.  “With respect to what the investigation is about, or whether there is one, that’s a question you’d have to ask law enforcement.” 

On Wednesday, Channel 5 News filed a public information request to receive a copy of the subpoena. Channel 5 News also reached out to law enforcement agencies, who could not confirm if an investigation is underway.

In March, Channel 5 News reported Sullivan City was in an agreement with the Texas Game Room Owners' Association to help them update their code of ordinances in hopes of legally opening game rooms in the city.

READ MORE: Sullivan City considering letting game rooms operate in the city

The agreement with the association came amid a string of game room raids that were made in 2023, leading to several cities across the Rio Grande Valley to find new ways to operate them.

An establishment that exchanges items for money is legal, but they're not allowed to be in business with a game room operator.

In March, Channel 5 News sent out two public information requests regarding the proposed ordinances the Texas Game Room Owners' Association were drafting, and a copy of their contract with the city. As of Friday, May 10, Sullivan City has not responded to those requests. 

In April, the association ended their agreement with the city

After the city was served with the subpoena, city attorney Frank Garza submitted his letter of resignation.

Garza submitted his resignation letter on Wednesday, which will be accepted during a Friday special called city council meeting, according to the city’s special counsel.

When reached for comment on why they ended their agreement with Sullivan City, Roberto Flores with the Texas Game Room Owners' Association said he would release a statement at a later time.