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Agenda 04/12/2016 Item #16A27 4/12/2016 16.A.27. EXECUTIVE SUMMARY Recommendation to approve the release of a code enforcement lien with an accrued value of$128,900 for payment of$2,895, in the code enforcement action entitled Board of County Commissioners v. BAC Homeloans Servicing LP, Code Enforcement Special Magistrate Case No. CESD20100009592, relating to property located at 2267 51st Terrace SW, Collier County,Florida. OBJECTIVE: That the Board of County Commissioners (Board) accepts an offer to release a code enforcement lien with an accrued value of$128,900, for payment of$2,895, in relation to the Code Enforcement Special Magistrate Case No. CESD20100009592. CONSIDERATIONS: As a result of a code violation at 2267 51st Terrace SW, consisting of a shed on property without the required Collier County permits, the Code Enforcement Special Magistrate ordered the imposition of a lien against BAC Homeloans Servicing LP, in Case No. CESD20100009592. The lien was recorded in the Official Records (O.R.)on April 26, 2011, at O.R. Book 4675, Page 1446, and it encumbers all real and personal property owned by BAC Homeloans Servicing LP. The lien amount of$128,900 is based on 1,289 days of accrued fines ($100 per day from March 4, 2011 through September 12, 2014). Operational costs of$112.47 were previously paid. The property was brought into compliance on September 12, 2014. After a Foreclosure (Case No. 09-CA-947), the property was acquired by BAC Homeloans Servicing LP, via a quitclaim deed which was recorded on November 2, 2012. BAC accrued fines for 649 additional days, while bringing property into compliance. The shed was removed on April 21, 2011. However, due to an internal office administrative error on the part of BAC's prior servicer of the loan related to the property, the proper demolition permit was not obtained. As evidenced by the attached hardship letter, Selene Finance, (LP) took over the servicing of the loan on August 1, 2014 and immediately indentified the issue and began the process of obtaining the proper demolition permit and the certificate of completion Pursuant to Resolution No. 2012-46, a request for waiver of fines may be considered when a code enforcement lien encumbers property that is under new ownership and compliance has been achieved. The property is being actively maintained and the owner has paid $2,895 in settlement for the additional accrued fines. The new owner is requesting a waiver of$126,005 in accrued fines. FISCAL IMPACT: Payment of$2,895 has been made and if approved by the Board, accrued fines in the amount of$126,005 would be waived. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this Executive Summary. LEGAL CONSIDERATIONS: The County Attorney's Office has reviewed this item and approved it as to form and legality. Majority support is required for approval. This item conforms to the Board's policy contained in Resolution 2012-46. KN Packet Page -825- 4/12/2016 16.A.27. RECOMMENDATION: To waive the fines in the amount of$126,005, accept the settlement amount of$2,895, release the lien, and authorize the Chairman to sign the attached release and satisfaction of lien for recording in the Official Public Records. Prepared by: Marlene Serrano, Manager of Operations, Code Enforcement Division, Growth Management Department Attachments: 1)Release and Satisfaction of Lien 2) Lien Order 3)Hardship letter Packet Page -826- 4/12/2016 16A27. COLLIER COUNTY Board of County Commissioners Item Number: 16.16.A.16.A.27. Item Summary: Recommendation to approve the release of a code enforcement lien with an accrued value of$128,900 for payment of$2,895, in the code enforcement action entitled Board of County Commissioners v. BAC Homeloans Servicing LP, Code Enforcement Special Magistrate Case No. CESD20100009592, relating to property located at 2267 51st Terrace SW, Collier County, Florida. Meeting Date: 4/12/2016 Prepared By Name: BuchillonHelen Title: VALUE MISSING 2/24/2016 11:38:47 AM Approved By Name: SerranoMarlene Title: Manager-Code Enforcement Operations, Code Enforcement Date: 2/24/2016 1:10:43 PM Name: PuigJudy Title: Operations Analyst,Operations&Regulatory Management Date: 2/26/2016 3:10:22 PM Name: PuigJudy Title: Operations Analyst,Operations&Regulatory Management Date: 2/26/2016 3:11:00 PM Name: OssorioMichael Title: Division Director-Code Enforcement, Code Enforcement Date: 3/2/2016 11:18:00 AM Name: NoellKevin Title: Assistant County Attorney, CAO General Services Date: 3/2/2016 3:53:03 PM Name: MarcellaJeanne Packet Page -827- 4/12/2016 16.A.27. Title: Executive Secretary,Transportation Administration Date: 3/8/2016 3:34:11 PM Name: KlatzkowJeff Title: County Attorney, Date: 3/15/2016 3:04:41 PM Name: IsacksonMark Title: Division Director-Corp Fin&Mgmt Svc,Office of Management&Budget Date: 3/17/2016 2:26:30 PM Name: DurhamTim Title: Executive Manager of Corp Business Ops, Date: 4/1/2016 2:21:03 PM Packet Page -828- 4/12/2016 16.A.27. This Instrument Prepared By: Marlene Serrano Code Enforcement Division 2800 North Horseshoe Drive Naples, FL 34104 (239) 252-2440 RELEASE AND SATISFACTION OF LIEN KNOW ALL MEN BY THESE PRESENTS: That the BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA is the owner and holder of a certain lien against all real and personal property owned by: BAC Homeloans Servicing LP Respondent The lien was recorded on April 26, 2011, in Official Records Book 4675, Page 1446, in the Official Records of Collier County, State of Florida. The lien secures the principal sum of two thousand nine hundred dollars ($2,900), plus accrued interest and penalties, if any, and imposes certain obligations against real property situated in Collier County, Florida. Collier County, a political subdivision of the State of Florida, by execution of this Release and Satisfaction of Lien, acknowledges payment as approved by the Board of County Commissioners as satisfaction of the lien and hereby cancels and releases said lien. The Clerk of the Circuit Court is hereby directed to record this Release and Satisfaction of Lien in the Official Records of Collier County, Florida, to acknowledge that the lien ceases to exist. ATTEST BOARD OF COUNTY COMMISSIONERS DWIGHT E. BROCK, Clerk COLLIER COUNTY, FLORIDA By: By: Deputy Clerk Donna Fiala, Chairman Date: Date: Approved as to form and legality Kevin Noell Assistant County Attorney CESD20100009592 Packet Page-829- INSTR 4553399 OR 4675 PG 1446 RECORDED 4/26/2011 1:04 PM PAGES 2 DWIGHT E. BROCK, CLERK OF THE CIRCUIT COURT, COLLIER COUNTY FLORIDA 4/12/2016 16.A.27. REC $18.50 COLLIER COUNTY CODE ENFORCEMENT SPECIAL MAGISTRATE Case No.—CESD20100009592 / BOARD OF COUNTY COMMISSIONERS COLLIER COUNTY,FLORIDA, Petitioner, vs. BAC HOMELOANS SERVICING LP, Respondent. • R Co ORDE'.s!1- l.,t: 14xyr:.r,1.0 ,- TRATE yrOSING FINES/CR.' THIS CAUSE came before .e = • _ 'r publc• he. 'ng upon the Petitioner's Motion for Imposition of Fine ie •• ;p ' --i 0►PF gistrate,. of Fact and Order of the FINDINGS 0 • 1. On December 3,2010,R 1...• nts were found guilt • v ion of Collier County Land Development Code 04-41,as amen, c� • 'on 10.02.06(B ( s. .r Shed on property with no permits, which violation occurred on the prope oc tt + ;u�„ .'- SW,Naples,FL,Folio#36312520006 (Legal Description:GOLDEN GATE S !, ire 16) 2. An Order was entered by the Special Magistrate ordering Respondents to abate the violation on or before March 3,2011,or a fine of 5100.00 per day would be assessed for each day the violations continue thereafter until abatement is confirmed. (A copy of the Order is recorded at OR 4635,PG 822). 3. Operational costs of$112.47 incurred by the County in the prosecution of this case were ordered to be paid. 4. Respondents,having been duly noticed for the public hearing regarding the County's Motion,did not appear at the public hearing and no legal defense to the Motion was presented. 5. No Request for Re-hearing or Appeal pursuant to Ordinance 07-44 has been timely filed. 6. The violation has not been abated as of the date of the hearing. ORDER Based upon the foregoing Findings of Fact,and pursuant to the authority granted in Chapter 162, Florida Statutes,and Collier County Ordinance No.07-44,it is hereby ORDERED: Packet Page-830- ** OR 4675 PG 1447 *** 4/12/2016 16.A.27. • A. Petitioner's Motion for Imposition of Fines/Liens is granted. B. Daily fines of$100.00 per day are assessed against Respondents for 29 days for the period from March 4,2011 to April 1,2011 for a total amount of fines of$2,900.00. C. Previously assessed operational costs of 5112.47 have been paid. D. Respondents are ordered to pay fines and costs in the total amount of$2,900.00 or be subject to Notice of Assessment of Lien against all properties owned by Respondent in Collier County,Florida. E. The daily fine of$100.00 shall continue to accrue until abatement has been confirmed by a Collier County Code Enforcement Investigator. DONE AND ORDERED this . d • ,tt. 2011 at Collier County,Florida. ����R Co �� hart of F•u.AM A �Q :ounty of COLLIER i H ERE''Y CERTIFY,THAT this is a true and O LODE ENFORCEMENT -orrect cony or;a o cument on file in t •#7.- , . , E r Minutes^,snd;.Fe, oroS of Collier Cou 08 d J.,) �T�u�SS r�f�; nir>and'o ia1 seal this ri !-- , e T:f: B ..-, --.1 : A elik Aimar .4.7-4110■,. �T //.1 �•.•'. 'i PAYMENT OF FINES: Any fines ordered to be paid pursuant to this order may be paid at the Collier County Code Enforcement Department,2800 North Horseshoe Drive,Naples,FL 34104,fax# (239)252-2343.Any release of lien or confirmation of compliance or confirmation of the satisfaction of the obligations of this order may also be obtained at this location. APPEAL: Any aggrieved party may appeal a final order of the Special Magistrate to the Circuit Court within thirty(30)days of the execution of the Order appealed. An appeal shall not be a hearing de novo, but shall be limited to appellate review of the record created within the original hearing. It is the responsibility of the appealing party to obtain a transcribed record of the hearing from the Clerk of Courts. Filing an Appeal will not automatically stay the Special Magistrate's Order. cc: Respondent(s)—BAC Homeloans Servicing LP Collier Co.Code Enforcement Dept. Packet Page -831- INSTR 4508301 OR 4635 PG 822 RECORDED 12/21/2010 1:06 PM PAGES 2 4/12/2016 16.A.27. DWIGHT E. BROCK, COLLIER COUNTY CLERK OF THE CIRCUIT COURT REC $18.50 COLLIER COUNTY CODE ENFORCEMENT SPECIAL MAGISTRATE Case No.—CESD-2010-0009592 BOARD OF COUNTY COMMISSIONERS, COLLIER COUNTY,FLORIDA, Petitioner, vs. BAC HOMELOANS SERVICING LP, Respondent. ORDER s ' WPM ISTRATE, THIS CAUSE came on ,rist�c hearing before the?.e i Magistrate on December 3,2010, and the Special Magistrate, ha g • • •,on and oath, cei d evidence, and heard argument respective to all appropriate m.tte •,he - •i,+ is s its i dings o Fac,Conclusions of Law,and Order of the Special Magistrate,as f'lloN s 0.4tii j� „h1!]J ••t, FA C.) „ 1. Respondent,BAC Horn. • . Servicing LP,is the `er of t- property. 2. Respondent was notified •= e of hearing by certi • and posting and the Special Magistrate has jurisdiction of this m. 60��, L45\ 3. Respondent,having been duly notifies• • , - ed at the hearing by Attorney Robert Johnson who entered into a stipulation on its behalf. 4. The real property located at 2267 51"Terr SW,Naples,Florida,Folio#36312520006,is in violation of Collier County Land Development Code 04-41, as amended, Section 10.02.06(B)(1)(a), in the following particulars: Shed on property with no permits 5. The violation has not been abated as of the date of the public hearing. ORDER Based upon the foregoing Findings of Fact and Conclusions of Law,and pursuant to the authority granted in Chapter 162,Florida Statutes,and Collier County Ordinance No.07-44,it is hereby ORDERED: A. Respondent is found guilty of violation of Collier County Land Development Code 04-41, as amended,Section 10.02.06(B)(1)(a). B. Respondent must abate the violation by applying for and obtaining valid Collier County Permits Packet Page -832- *** OR 4635 PG 823 *** 4/12/2016 16.A.27. for any and all additions to the property and all required inspections and Certificate of Occupancy/Completion or by obtaining a Collier County Demolition Permit to remove all unpermitted additions to the property and all required inspections and Certificate of Completion on or before March 3,2011 or a fine of$100.00 per day will be imposed for each day the violation remains thereafter. C. If Respondent fails to comply with this Order,the Collier County Code Enforcement Department may abate the violations.If necessary,the County may request the services of the Collier County Sheriff's Office for the purpose of accessing the property for abatement. All costs of abatement shall be assessed against the property. D. Respondent is ordered to pay operational costs for the prosecution of this case in the amount of $112.47 on or before January 3,2011. E. Respondent shall notify the Code Enforcement Investigator, Renald Paul, within 24 hours of abatement or compliance so that a final inspection may be performed to confirm compliance. R Ce DONE AND ORDERED t. ;y�l say of „A! 2010 at Naples,Collier County,Florida. Still PLA yt�itr pr ;minty of COLD •r; #j w '►t O ' CODE ENFORCEMENT HERESY CERTI,• 1 TE �r a oocttmeni tH� °' :orrect coot' 1� ►' 3oard Minutes 8ntS'R > OLc0U j ∎ t yv�tn• -� � 1�+ {les LV�6• Q AfkA, AA • "�A C.GARRETSON arrimarlo011 •A.�; . .. . PAYMENT OF FINES: Any fines ordered to be paid pursuant to this order may be paid at the Collier County Code Enforcement Department,2800 North Horseshoe Drive,Naples,FL 34104,fax#(239)252- 2343. Any release of lien or confirmation of compliance or confirmation of the satisfaction of the obligations of this order may also be obtained at this location. APPEAL: Any aggrieved party may appeal a final order of the Special Magistrate to the Circuit Court within thirty(30)days of the execution of the Order appealed.An appeal shall not be a hearing de novo,but shall be limited to appellate review of the record created within.It is the responsibility of the appealing party to obtain a transcribed record of the hearing from the Clerk of Courts. Filing an Appeal will not automatically stay the Special Magistrate's Order. cc: Respondents—BAC Homeloans Servicing LP Collier Co.Code Enforcement Dept. Packet Page -833- 4/12/2016 16.A.27. GREENS I LI t&? AssoclATts October 28,2015 Via Email Director Jeff Wright ' Collier County Code Enforcement 2800 N. Horseshoe Drive Naples,FL 34101 ,, Re: Lien Reduction Request—Folio 363125200006 Address—2267 515 Ter SW Dear Jeffrey: We represent BAC Home Loans Servicing LP ("BAC"), the current owner of the property located at 2267 51st Ter SW, Naples, FL 34101 (the "Property"). We are writing regarding obtaining a reduced pay-off amount with respect to a lien imposed on the Property by Collier 3.: County. •x� i By Order of the Special Magistrate dated December 3, 2010 (the "Special Magistrate Order"), v BAC was found to be in violation of Collier County Ordinance No. 07-44 (the "Violation"), because of the existence of a shed (the "Shed") on the Property. The Shed was erected by the prior owner (the "Prior Owner") of the Property. BAC was ordered to abate the Violation by applying for and obtaining the appropriate permits, or b removing the Shed, and obtaining a Certificate or Completion,on or before March 3, 2011, or pay a fine of$100.00/day. On April 1, 2011,an Order of the Special Magistrate Imposing Fines/Liens (the"Fine Imposition Order") was entered. Pursuant to the Fine Imposition Order, daily fines were assessed against BAC for the period from March 3, 2011,. to April 1, 2011, for a total amount of$2,900.00 (BAC paid previously assessed operation costs in the amount of$112.47). A daily fine in the amount of$100.00/day was assessed until an abatement of the Violation could be confirmed. The Shed was removed on April 21, 2011 (See attached photos and work order). However, due to an internal office administrative error on the part of BAC's prior servicer of the loan (the "Loan")related to the Property, the proper demolition permit was not obtained. Selene Finance, LP ("Selene"), took over the servicing of the Loan on August 1, 2014. Selene identified the 4 issue with respect to the failure to obtain the proper demolition permit, and the Certificate of 7 Completion, and immediately began the process of obtaining same. The Violation was ' subsequently promptly abated on September 12, 2014. 4 Packet Page -834- 4/12/2016 16.A.27. T i it i it A We believe that a substantial reduction of the lien is appropriate for several reasons. First, BAC F did not own the Property when the Shed was erected. Second, the Shed was removed on April ;, 21, 2011. Third, when the servicing of the Loan was transferred to Selene, and the lack of the abatement of the Violation realized, Selene promptly abated the Violation. Finally, the Property is only worth about$170,000.00 (according to Zillow). ;# If you would like to discuss this matter further, I can be reached at (561)227-9344. Thank you for your consideration. i , ,- ,i1 Singly, , s ', c•.it d S. Lubliner t i I 4 k 1'1'. I. ,Yd. ,,ri f, L' rre Packet Page -835-