HomeMy WebLinkAbout2010-121-1303 - Lien Amnesty Program
City of Miami Gardens Agenda Cover Memo Council Meeting Date: July 14, 2010 Item Type: Resolution Ordinance Other X Fiscal Impact: Yes No Ordinance Reading: 1st Reading 2nd Reading X
Public Hearing: Yes No Yes No X Funding Source: Code Compliance sion ‐Ge al Divi und ner F Advertising Requirement: Yes No X Contract/P.O. Required: Yes No RFP/RFQ/Bid #: X Sponsor Name
Dr. Danny Crew, City Manager Department: Building and Code Compliance Short Title: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MIAMI GARDENS, FLORIDA, IMPLEMENTING MINIMUM AND MAXIMUM
VALUES FOR LIEN AMNESTY PROGRAM; PROVIDING FOR THE ADOPTION OF REPRESENTATIONS; PROVIDING AN EFFECTIVE DATE. Staff Summary: Background Since 2007, the City has issued 1,332 residential
and commercial violations resulting in approximately $30,774,874.00 in liens. While a significant number of the warning and civil violation notices prompted the property owner to remedy
the condition and come into compliance, many of the violations remain unaddressed and the lien lien amounts continued to accrue daily. As a result, the City created a period of lien
amnesty which addressed the back‐log of liens on record and sought to provide relief to the property owners. Property owners seeking lien amnesty must submit an application and pay a
$75.00 fee. In order to calculate a settlement amount the Code Compliance Division reduces the outstanding fine amount by 95% and assesses a $60.00 administrative fee per civil violation.
However, in some cases, the reduced amount offered under lien amnesty can be in excess of what a property owner can responsibly be expected to pay. ITEM J-2) CONSENT AGENDA RESOLUTION
Lien Amnesty Program
1515 NW 167 Street, Building 5 Suite 200 Miami Gardens, Florida 33169 For Example: • Property Owner Lien amount : $ 2,820,500.00 • Lien Amnesty program amount : $ 141,160.00 • VALUE
OF THE HOME: $ 130,000.00 Consequently, the liens remain on the property, abandoned properties remain unoccupied, and the housing stock deteriorates. Establishing minimum and maximum
values for the Lien Amnesty Program increases the likelihood of the property owner’s ability to pay. This methodology for the settlement of fines will also attract more buyers to our
community and ultimately new residents. The recommended minimum and maximum settlement amounts are provided below: Single‐family home (homestead): • Minimum amount that may be assessed
for a lien under amnesty program: $500 per lien not to include hard costs. • Maximum amount that may be assessed for a lien under amnesty program: $7,500 per lien not to include hard
costs. Single‐family home (non‐homestead): • Minimum amount that may be assessed for a lien under amnesty program: $1,000 per lien not to include hard costs. • Maximum amount that may
be assessed for a lien under amnesty program: $10,000 per lien not to include hard costs. Commercial Property: • Minimum amount that may be assessed for a lien under amnesty program:
$1,500 per lien not to include hard costs. • Maximum amount that may be assessed for a lien under amnesty program: $15,000 per lien not to include hard costs. Proposed Action: Implementing
minimum and maximum values for Lien Amnesty Program to ensure a reasonable disposition of outstanding fines, increase occupancy, and improve quality of life. Attachment: None