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HomeMy WebLinkAbout2012 12 10 Regular 601 Lien Reduction COMMISSION AGENDA     Informational Consent ITEM601 Public Hearings Regular X       December 10, 2012KSRS Regular MeetingCity ManagerDepartment         REQUEST: The Community Development Department and the Code Enforcement Division of the Police Department request that the City Commission consider the request of Fannie Mae Finance Corporation for  reduction of a Code Enforcement Lien on property located at 708 Lakeside Drive.   SYNOPSIS: As of October 16, 2012, the Code Enforcement Division has a lien on the subject property in the amount of $58,760.28.  The case for reduction of the lien amount to $1,061.92 was presented to and approved by the Code Enforcement Board on November 20, 2012.  The reduced lien amount represents the fine for the number of days the property was in violation under the new owner as well as the total costs to the City (both direct and indirect) of administering this lien. amount of $58,760.28 on October 16, 2012 CONSIDERATIONS: The Code Enforcement Board issued an order on November 15, 2011 for correction of violation of City Ordinance 13-2 Junk & Debris, and International Property Maintenance Code (IPMC), Section 304.6, Exterior Walls.  These violations were to be corrected by  November 30, 2011.  The Code Enforcement Board found the property in noncompliance on January 7, 2012.  The lien grew at a rate of $200/day until it amounted to $58,760.28.  The original violator was placed in a nursing facility and the property title was transferred to Fannie Mae Finance Corporation in August 2012.  Fannie Mae initiated immediate remediation of the violations.  Most of the lien amount was accumulated during the interim time when the original violator was not in control of the property and before Fannie Mae Finance Corporation assumed title to the property.  Regular 601 PAGE 1 OF 2 - December 10, 2012   An Affidavit of Compliance was issued on September 21, 2012. The case for lien reduction was presented to the Code Enforcement Board on November 20, 2012.  The Code Board voted to recommend to the City Commission that the lien be reduced to  no less than $1,061.92  The original amount of the lien is $58,760.28 on October 16, 2012. FISCAL IMPACT: The request represents a $57,698.36 reduction in the amount to be collected and credited to the City's General Fund.  However, the current assessed value of the property is $41,755.  The original lien amount could actually exceed the fair market value of the property, thereby rendering said property unsellable.  Because staff's recommendation is for a partial release of the lien, the balance of the lien ($57,698.36) will remain an encumbrance on any and all real or personal property owned by the original violator, Mr. Kenneth Disch.   COMMUNICATION EFFORTS: This Agenda Item has been electronically forwarded to the Mayor and City Commission, City Manager, City Attorney/Staff, and is available on the City’s Website, LaserFiche, and the City’s Server. Additionally, portions of this Agenda Item are typed verbatim on the respective Meeting Agenda which has also been electronically forwarded to the individuals noted above, and which is also available on the City’s Website, LaserFiche, and the City’s Server; has been sent to applicable City Staff, Media/Press Representatives who have requested Agendas/Agenda Item information, Homeowner’s Associations/Representatives on file with the City, and all individuals who have requested such information. This information has also been posted outside City Hall, posted inside City Hall with additional copies available for the General Public, and posted at five (5) different locations around the City. Furthermore, this information is also available to any individual requestors. City Staff is always willing to discuss this Agenda Item or any Agenda Item with any interested individuals.   RECOMMENDATION: The Community Development Department, the Code Enforcement Division of the Police Department, and the Code Enforcement Board recommend that the City Commission approve a partial release of lien, releasing the property at 708 Lakeside Drive from all but $1,061.92 of the lien.  The balance of the lien ($57,698.36) will remain an encumbrance on any and all real or personal property owned by the original violator, Mr. Kenneth Disch.   ATTACHMENTS: A - Code Board Presentation B - Minutes, Code Enforcement Board - November 20, 2012 Regular 601 PAGE 2 OF 2 - December 10, 2012 Q a) E c a; .. N z .� A = A in z .1 t .�o 5 oo A © i• I CJ a� a, N ,� 1■1 "C 1■1 t : Oe= Lo CI4 17:1 v W Ci l' 52 14 = C' 1 ez E 111 ..., _, ci. 4 © . /-1 E ct ,i,14, : cc '� • = = (u L. 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L• L• x 7 ar r i O f O c) CI N N „_ L" ? r O •� / Cut • AC• 0 L. - !a L.1 r-_ _ o W o o latu II }7,14+,, x ti - ar r '4.) ' i Ch f Oily it , . , l ' , NJ 1/4y I ••i 'v1 ri - G� •O - -.", i CU k N •�y i,. g a,' ya,� V1 A , ct / _ , •I■1 1 V il o ipbl - -,, �i.- R1, COi • ) cu O cu fir= 1 I T I i •O 44 O CU ‘.I -flit , U 4, /1,1+1) iA LIP - r_ liii C f . •� a� •a N C d) �, , �� U N o = N .' c79 .L.)'-' .,- U rzl' U O U ,- ,__4 O U N ct - �o • ., � O O o � ., — or ct r--) ;�-+ — rZli ti a N � IF C H U 0 Attachment "B" CITY OF WINTER SPRINGS DRAFT MINUTES CODE ENFORCEMENT BOARD REGULAR MEETING-NOVEMBER 20,2012 REGULAR AGENDA REGULAR 601.1 Code Enforcement Division—Police Department Case # 11-0026952 Federal National Mortgage Association 708 Lakeside Drive Winter Springs,FL 32708 Sec. 2-61.5.Application For Satisfaction Or Release Of Code Enforcement Liens Non-Compliance Hearing Date: Jan. 18,2012 Inspector: Christi Flannigan And Community Development Department Inspector Christi Flannigan, Code Enforcement Division, Police Department presented the item and began by noting "The Violation was first observed on August 29th, 2011. There were several containers of oil stored outside of the garage. There were holes in the exterior walls. The Order of the Board stated the Violations were to be corrected by November 30th, 2011. The Code (Enforcement) Board found the property in Non-Compliance on January 17th, 2012. The Owner of Record at that time was Kenneth Disch. Seminole County Public Records show that J.P. Morgan/Chase, whenever they purchased Washington Mutual had filed a Lis Pendens paperwork on January 2009. The final judgment was filed in March of 2012. The County Property Appraiser advised me that they requested the Title Transfer in August of 2012. They didn't have an exact date to provide. There was a request to Re-Inspect on September 20th, 2012 from Home Pro Properties stating the Violations were corrected on September 9th (2012). Affidavit of Compliance was issued for September 21st, 2012." Discussion ensued on City Ordinance 2-61.5.; the process to reduce or release a Code Enforcement Lien; multiple factors that may affect the Code Enforcement Board's recommendation; and that the recommendation would go before the City Commission for final decision. Next, Inspector Flannigan showed photographs from "WS-1", a PowerPoint Presentation and noted previously there was significant wood rot close to the garage of the structure. Inspector Flannigan noted that the damage had been repaired and had come into Compliance. Discussion. Referencing the current amount owed for the Code Enforcement Lien, Inspector Flannigan noted the amount had accumulated to $58,760.28 as of October 16th, 2012. In light of previous discussion, Inspector Flannigan said "Community Development Division and Staff is recommending that the lien not be reduced any further than one thousand sixty one dollars and ninety two cents ($1,061.92), which covers the cost incurred by the City. This is based on the quickness of the response, once the owners transferred the Title into their name." Discussion. Ms. Kristina Nubaryan, Attorney, Butler and Hosch P.A., 3185 South Conway Road, Suite E, Orlando, Florida: noted that the property was transferred to Fannie Mae on August 161 , 2012. Chairperson Wood asked "When was the date that the repairs were made?" Ms. Nubaryan answered "Violation was corrected on September 7t', 2012. We actually corrected the Violation as soon as our Title Search revealed that there was a Code Violation and a Lien on the property." Chairperson Wood responded "I am in Real Estate and that is an amazing feat — to get it done that quickly. Thank you for doing that for the City. I appreciate that." Discussion. Board Member Roero aksed how the Lien had accrued to such a large amount. Ms. Nubaryan explained that the repairs were made as soon as Fannie Mae took ownership and noted that the property was only listed at roughly $42,000.00. Also, Captain Deisler responded that October 2012 Code Enforcement Board meeting has been cancelled; otherwise it would have been on that agenda. Discussion. Vice Chairperson Fisher commended the mortgage company for such quick repairs to the property. Board Members agreed. Discussion. "I MOVE TO RECOMMEND THAT THE CITY COMMISSION REDUCE THE LIEN TO ONE THOUSAND SIXTY ONE DOLLARS AND NINETY TWO CENTS ($1,061.92)." MOTION BY VICE CHAIRPERSON FISHER. SECONDED BY BOARD MEMBER ROERO. DISCUSSION. VOTE: BOARD MEMBER CALHOUN: AYE BOARD MEMBER KELLY: AYE BOARD MEMBER ROERO: AYE BOARD MEMBER WENTZ: AYE CHAIRPERSON WOOD: AYE VICE CHAIRPERSON FISHER: AYE MOTION CARRIED. Chairperson Wood inquired if any of the members of the Code Enforcement Board were required to attend the City Commission meeting for this item. Inspector Flannigan did not believe it was necessary and the item would be presented to the City Commission in a normal fashion.