HomeMy WebLinkAbout1999-02-08 99-85 ORDERCOUMaLACTION
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Itemjftoj .Ortlm,A dpgngVogcy on Przmerpes Wlth Matured! Tax or Server hens."
ResporreiMecepeMxnt City Manager
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krward W meet wah City stag W re.uive mese smwUms.
U Mer me Gtr Msshrequenty harm possession a penues on wMoh Iles nave maWml. mis has generally
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MM Me IXyU l is punuirp a more aggro5rve polity Wxak nephborri pohcllar and KwteAlAMn, and that the
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Dcpadment Head!
ManaWs Comments:
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L�Ia Oty Mawger
Awotufd Information:
Order, Polky
Widget Approval:
Rnanre grxWr
Legal Approval:
Gly solum
[ntradu sfer
Passaage
_ First Reading ReBa_ of
Referral
Amped to Coueeaor ID hecte February S. 1999
_ CITY OF BANGOR
(iITIEJ �fbCT Adopbrig- cy on Properties WM wavered 'Por or Sower Lleaw"
By Wo city Courwi! of City ofBaapor.
ORDEM u,
TEAT the elrbc pollry moixi,"Pdky on Fmperbee weh Fwtured Tex or Sewer
Liens" %hereby adopted.
Id CTn MMIL
February B. 1999
Nation for Passage Made and
Serenaded
Passed
WMAIWOM, W1101
99-85
D R DER
Title, Adopting "Polity ou Properties
with Natured Tar or Sever Lieas"
......................................
- oa.&wW
POLICY ON PROPERTIES WITH MATLUIED
TAX OR SEWER LIENS
1.0 Purpose
99-85
The Purpose of this Policy is to provide guidelines for City staff to follow in handling and
processing properties on which Property tax or sewer Gans have matured and to leaure
that such properties are handled m a masa which is both consistent and which Property
owners understand in advance of City action.
2.0 Policy
It is the City of Bangor's Policy in collec4 to the graciest extent possible, all real property
taxes and sewer charges which are due in a timely fashion and in accordance with
applicable state statutes. It is also our policy to work with individual citi Ves who main
good faith effort to meet thehobligadons. The Citywill takepowesslon ofpmpertie.von
which tax or sewer liens have matured only as a last resort and where such action meets
the City's Community Development and revenge collection needs.
3.0 Situation Where City May Take Possession of Property
The City will consider itiong possession of propanes with matured tae or sewer liens
under the f Uowiug circumstances.
3.1 Vacant and Blighted. Propanes which are vacant and considered blighted
by the CityCouncil will generally be taken unless:
3.1.1 The property owner pays all imost due to the City for any
and au purposes.
3.1.2 The property owners wean into a legally binding
commitment to bring the property into full compliance with
the City's codes within a reasonable period of time, such
Paned to generally not exceed 12 months.
3.2 NonConforming Surnames. Properties which do not esform to current
land use and swing Policies may be taken by the City. This decision will
be based on a consideration of the following factors:
3.2.1 The extent of the ns<ovforrrty;
3.2.2 The effect of the property an surrounding properties and
uses;
3.2.3 The condition of the property including its overall
appearowe and the presence or absence of any code;
3.2.4 The wilIntimate and ability of the property owner to pay at
anouns due to the City, to address code issues, and to mine
steps to instigate adverse impacts winch the non-
conforming use may have on surrounding properties.
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3.3 Vacard Land. The Citymsytakepossessionofa Yy mpa lson
which lima bove matured. This decision willbe based on the following
considerations:
3.3.1 Thewillingrress and ability ofthe PropertY owner to Pay all
amounts due to the City;
3.3.2 The ratio between the amount owed the City and the
assessed value of the property; -
3.3.3 The extent to which the property has a negative impact on
smroundmg properties and/or has been found in be in
violation of me City ordiaavices.
3.4 Owner Occupied Residences. As ageneml guideline, it is rot the City's
intent to rake possession of owner oceupte i single family reaidences
sinless continued occupancy of the residences poses adirect and immediate
threat to the health, safety, and welfare of the residents or the City
determines that the ownerhesident is capabte of meeting his or her
obligations to the Chy but refuses to do so.
3.4.1 Wherm it is determined that contismed occupancy of the
property poses adiremt and immediate threat to the
residents, the City may, fake possession of the property.
City staff shall work with the residents to locate alternative
safe and affordable housing.
3.4.2 Where it is determined that the uwnenmident is capable of
meeting his or her obligations and refuses to do so, the City
may take possession of the property. Factors which may be
considered in determining whether a good faith effort is
being male to meet these obligations may include:
3.4.2.1 Willingness to cater into and meet the
reafiofworkoutagreements:
3.4.2.2 Applipplicationon for
mono Homestead or other
available exemptions;
3.4.2.3 Application for the Maine Residents
Property Tax Program and agreement to
assign all payments from the Program
toward ammm s; due the City;
3.42.4 Exploration of other options to meet
Obligations m the City including, but not
limited to, applications for a hardship
abatement, request for a tax mortgage, or
tiny other proposal or activity that will result
inpayment to the City and correction of
existing code violations.
3.5 Other Cimumeences. The City may take possession of properties on which liens
have mmured under other ciavmsseem not listed above, regardless of be
condition of the property, Ohm it is determined that doing so is in the best
interests of the City aM it residents. Without limitation, each circumstances may
include the following:
3.5.1 Ownership of the property is retuned for construction or
maintenance of necessary public facilities such as roads,
sewer faci0ties,mareational trails, schools, or public
building.
3.5.2 The property is located in a designated Community
Development Project area aul City ownership is tattooed m
facilitate a redevelopment project.
3.5.3 Ownership ofNe property is required for expansion Of
City -owned commemial, industrial, or business pule.
3.5.4 Ownership of the property is required for expansion of the
City Forest. City Airport, or a City Park.
3.5.5 Own coding of the property is required to facilitate an
enviromnental remediation project.
3.5.6 The City Council distantness that ownership of the property
is in the public interest for other identifiable reasons.
4.0 Procedure
After sewer or not Have; have matured, the responsible City staff will take the necessary
steps no moure that the City's lien interests have been perfected, that owners are notified
of the status of their property, and the necessity to make immediate anangemous; to meet
their obligation. Staff will compile the necessary information to enable the City Council
N make the dmemswmian of whether or not to take possesaion of the property.
4.1 Lim Perfection. Staffwill insure that all legally required notices have been sent
and Nat all legal requirements have been miss including notification of my
institutions or individuals holding a mortgage hrteteet in the property.
4.2 Code Compliance. Owe staff has determined test the City is legally authorized to
foreclose the lien and take possession of the property. the Code Enforcement
OfficerwillWprovidedwithali ofthemproperties. Codewillwspectthese
properties N determine thea compliance with building, property maintenance, and
life safety codes and their contaminate with the City's comprehensive Plan and
Land Development Code.
4.3 Notification. The property owner will be notified via certified mail got the City
has amatured lien an the property in question and that acceptable arrangements
most be made within NGty days of the date of the notice to pay all amounts due
and, if necessary, commit m the necessary steps N bring the property into
compliance with all City Codes.
4.4 Where stuff determines that the Property in questions Poses a hand to individuals
or mama nding property, m where the property owner has a history of failing to
meet his or bar obligations to the City and/or to meet the City's Codes, the
requirements of 4.2 and 4.3 maybe eliminated.
4.5 During the 30 day period outlined in section 4.3 above, staff shall meet with the
property owrsem atquestion and attempt to reach an agreement or payment
arrangements as outlined in the City's Distressed Real Property Tax and Rate
Peyer Policy and/or Hardship Abatement Policy ea well as agreement on the steps
which the property owner will take, if necessary, to bring the property into
compliance with the applicable City Codes.
5.0 Presentation to Finance Committee
Once staff has completed all necessary requirements of Section 4.0 above, areport on the
status of the property and the amengemmts negotuded with the property owner shall be
forwarded to the Finance: Committee of the City Council. This report shall address all of
the applicable considerations act form in Section 3.0 above. Based on this information,
the Finance Committee may:
5.1 Recommead that a Municipal Quitclaim Dori he issued if a8 amounts due have
been tendered and no code issues exist;
5.2 Authorize a workout and/or Code Compliance Agreement should the Committee
find reasons to believe that these actions will resolve the situation;
5.3 Recommend mat the City take possession of me property in question; or
5.4 RecommmW mat the City take such other action or actions which the Finance
Committee believes to be in the best interest of the City of Burger.
6.0 Commit Action
Approval by the fail City Council is required for the issuance of Quitclaim Deed or to
authorize the City to take possession of a property on which a lies has maimed.
Nothing in this policy shell limit the discretion of the City Council to either take
possession or not take possession of a specific property based upon the Council's
evaluation of that property and its determination of what action, if any, is in the best
interest of the City of Bangor and its citizens.
7.0 Legal Rights
This policy is rat intended to create legal rights on the part of Bangor residents or
taxpayna. Failure of the City to fallowthe guidelines or procedures established by this
policy shall not concentrate a defense or barto me City's foreclosure ofmatrued tax or
sewer liens, orto any legal titles derived from such foreclosures. Failureofthe Cityto
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follow the guidelines or procMnres established by this policy shop not constitute a
defense or bar to the City's collection of my taxes, sewer charges, or other charges owed
8.0 Staff Responslbilitles
8.1 The Finance Director shall have overall responsibility for implementing
Us policy to include:
8.1.1 Lien Perfection
8.1.2 Property owner notification
8.1.3 Negotiating payment anaregements with property owners
8.1.4 Preparing reports and information for the Finance Committee and
Council
8.1.5 Requesting support from other City staffas necessary.
8.2 The Code Enforoement Officer shall be responsiblefor,
8.2.1 Property inspections,
82.2 Delermhung property compliance with the City's Land
Developmeut Code.
82.3 Negotiating agreemente to bring properties into compliance with
City Codes.
8.3 The City SoNcitor shalt be responsible for verifying that all stationary
requirements are met in the lien and foreclosure process.
8.4 The City Manager shall be responsible for reviewing and recommending
revisions to Us policy as necessary.
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