Agenda 04/13/2010 Item #16A 8
EXECUTIVE SUMMARY
Agenda Item No. 16A8
April 13, 2010
Page 1 of 9
Recommendation to accept an offer to settle and release two code enforcement
liens, with a combined accrued value of $231,528, for payment of $65,000 in the
Code Enforcement Actions entitled Board of County Commissioners vs. 6240
Collier Group, Inc., Case Nos, CEB 2007-080153 and OSM 2007-080327, relating to
property known as 6220 and 6240 Collier Boulevard, Collier County, Florida.
OBJECTIVE: To have the Board of County Commissioners accept an offer to settle
and release two code enforcement liens, with a combined accrued value of $231,528,
for payment of $65,000, in relation to two Code Enforcement Board actions entitled
Board of County Commissioners VS. 6240 Collier Group, Inc,
CONSIDERATIONS: This settlement offers involves two liens - one imposed by the
Special Magistrate and one imposed by the Code Enforcement Board.
Special Maoistrate Lien: On June 6, 2008, the Code Enforcement Special Magistrate
found 6240 Collier Group, Inc. (Respondent) in violation of the Collier County Property
Maintenance Ordinance for having a roof soffit and fascia, and interior ceiling, in
disrepair.
Respondent was ordered to correct the violations by "obtaining all required building
permits, inspections, certificate of completion, and repair all damage to roof, fascia,
soffit and ceiling" on or before August 6, 2008, or a fine of $250 per day would be
imposed until the violation is abated. The order was recorded in the Official Public
Records on June 23, 2008, in OR Book 4372, Pages 434, et seq.
Due to non-compliance and based on the above order, the Special Magistrate entered
an order dated September 5, 2008, imposing a lien ("OSM Lien"). The OSM Lien was
recorded in the Official Public Records on September 16, 2008, at O.R. Book 4394,
Pages 995, et seq.
This violation was brought into compliance on March 8, 2010. Based on 577 days of
noncompliance, at $250 per day, plus $340.30 in operational costs, the accrued lien
amount is $144,590.30.
Code Enforcement Board Lien: On May 22, 2008, the Code Enforcement Board found
Respondent in violation of the Collier County Land Development Code, for landscape
violations,
Respondent was ordered to correct the violations by "replacing dead and failing plant
material" on or before August 28, 2008, or a fine of $150 per day would be imposed until
the violation is abated. The order was recorded in the Official Public Records on May
30,2008, in OR, Book 4365, Pages 1428, et seq.
Due to non-compliance and based on the above order, the Code Enforcement Board
entered an order dated October 2, 2008, imposing a lien ("CEB Lien"). The CEB Lien
Agenda Item No, 16A8
Aprii 13,2010
Page 2 of9
was recorded in the Official Public Records on October 6, 2008, at O.R. Book 4398,
Pages 3861, et seq.
This violation was brought into compliance on March 19, 2010. Based on 576 days of
noncompliance, at $150 per day, plus $537.93 in operational costs, the accrued lien
amount is $86,937.93,
On April 9, 2009, 6240 Collier Group conveyed the property (encumbered by the liens
above) to second mortgage holder S&G Financial. In June 2009, first mortgage holder
Interamerican Bank filed a foreclosure action against the property and named the
County as a defendant. Because the County held these liens, they were asserted in a
counterclaim in the foreclosure action.
Following commencement of the foreclosure action, S&G Financial (the current property
owner) filed for bankruptcy. The bankruptcy filing could adversely impact the County's
ability to pursue S&G Financial for payment of the liens without potentially expending
considerable financial resources and time.
The foreclosure plaintiff, Interamerican Bank, has been working with the U.S.
Bankruptcy Trustee and the County in an effort to avoid litigation. The Bankruptcy
Trustee, with the assistance of Interamerican Bank, has offered to settle both liens for
$65,000, and they are requesting a waiver of the remaining accrued fines of $166,528 in
accrued fines and releases of the liens.
Interamerican Bank has been proactive in achieving compliance, and has expended
approximately $52,385 to bring the property into compliance. It is expected that these
improvements will reduce potential blight and allow functioning businesses to reoccupy
the space.
FISCAL IMPACT: The U.S. Bankruptcy Trustee is offering to pay a total of $65,000 to
settle these liens. If this offer is accepted by the Board, accrued fines in the amount of
$166,528 will be waived.
GROWTH MANAGEMENT IMPACT: There is no growth management impact
associated with this Executive Summary.
LEGAL CONSIDERATIONS: This item is legally sufficient for Board action. If
approved, the County's counterclaim in the foreclosure action (see above) will be
voluntarily dismissed and the liens will be forever relinquished. -JW
RECOMMENDATION: That the Board accept the settlement offer described herein.
PREPARED BY: Jen Waldron, Code Enforcement Supervisor
Agenda Item No. 16A8
April 13, 2010
Page 3 of 9
This Instrument Prepared By:
Jeff E. Wright, Assistant County Attorney
Office of the Collier County Attorney
3301 East Tamiami Trail, 8th Floor
Naples, Florida 34112
(239) 252-8400
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:
6240 Collier Group, Inc., Respondent
The lien was recorded on October 6,2008, in Official Records Book 439B, Pages 3861,
sf seq., in the Official Records of Collier County, State of Florida. The lien secures the
accrued sum of eighty-six thousand nine hundred thirty-seven dollars and ninety-three
cents, inclusive of costs, accrued interest, and penalties, if any, and imposes certain
obligations against real property situated in Collier County, Florida, which property is
described as follows:
6240 Collier Boulevard, Naples, Florida 34114, folio #00731840005
(and 6220 Collier Boulevard, folio #00736200501, as a result of post-lien lot split)
Collier County, a political subdivision of the State of Florida, by execution of this Release
and Satisfaction of Lien, acknowledges full satisfaction of the lien and any related
underlying orders, and hereby cancels 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.
IN WITNESS WHEREOF, the Board of County Commissioners of Collier County,
Florida, acting through its Chairman, directs execution and recording of this Release and
Satisfaction of Lien, by action of the Board on this day of
,2010.
ATTEST
DWIGHT E. BROCK, Clerk
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA
By:
Deputy Clerk
By:
Fred W. Coyle, Chairman
Approved as to form and legal sufficiency
Jeff E. Wright
Assistant County Attorney
~
Agenda Item No. 16A8
April 13, 2010
Page 4 of9
This Instrument Prepared By:
Jeff E. Wright, Assistant County Attorney
Office of the Collier County Attorney
3301 East Tamiami Trail, 81/1 Floor
Naples, Florida 34112
(239) 252-8400
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:
6240 Collier Group, Inc., Respondent
The lien was recorded on October 6, 2008, in Official Records Book 4394, Pages 995,
et seq., in the Official Records of Collier County, State of Florida. The lien secures the
accrued sum of one hundred forty-four thousand five hundred ninety dollars and thirty
cents, Inclusive of costs, accrued interest, and penalties, if any, and imposes certain
obligations against real property situated in Collier County, Florida, which property is
described as follows:
6240 Collier Boulevard, Naples, Florida 34114, folio #00731840005
(and 6220 Collier Boulevard, folio #00736200501, as a result of post-lien lot split)
Collier County, a political subdivision of the State of Florida, by execution of this Release
and Satisfaction of Lien, acknowledges full satisfaction of the lien and any related
underlying orders, and hereby cancels 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.
IN WITNESS WHEREOF, the Board of County Commissioners of Collier County,
Florida, acting through its Chairman, directs execution and recording of this Release and
Satisfaction of Lien, by action of the Board on this day of
,2010.
ATTEST
DWIGHT E. BROCK, Clerk
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA
By:
Deputy Clerk
By:
Fred W. Coyle, Chairman
Approved as to form and legal sufficiency
Jeff E. Wright
Assistant County Attorney
'~
Item Number:
Item Summary:
Meeting Date:
Agenda item No. 16A8
April 13, 2010
Page 5 of 9
COLLIER COUNTY
BOARD OF COUNTY COMMISSIONERS
16A8
Recommendation to accept an offer to settle and release two code enforcement liens, with a
combined accrued value of $231 ,528 for payment of $65,000 in the Code Enforcement
Actions entitled Board of County Commissioners vs, 6240 Collier Group, Inc" Case Nos,
CEB 2007-080153 and OSM 2007-080327, reiating to property known as 6220 and 6240
Collier Boulevard, Collier County, Florida.
4/13/20109:00:00 AM
Date
Prepared By
Marlene Serrano
Community Development &
Environmental Services
Manager - Code Enforcement Operations
Code Enforcement
3/18/20104:13:08 PM
Date
Approved By
Diane B. Flagg
Community Development &
Environmental Services
Director ~ Code Enforcement
Code Enforcement
3/19/201011:10 AM
Approved By
Date
r--
Judy Puig
Community Development &
Environmental Services
Operations Analyst
Community Development &
Environmental Services
3/25/20103:53 PM
Approved By
Date
Jeff Wright
County Attorney
Assistant County Attorney
County Attorney
3125/201010:27 AM
Date
Approved By
Jeff Klatzkow
County Attorney
3130/20108:58 AM
Date
Approved By
Nick Casalanguida
Transportation Division
Director - Transportation Planning
Transportation Planning
3/31/20108:29 AM
Date
Approved By
OMS Coordinator
County Manager's Office
Office of Management & Budget
4/1/20109:06 AM
Date
Approved By
Michael Sheffield
,---
Assistant to the County Manager
County Managers Office
4/6/20108:49 AM
MORTGAGE ACCOUNT
Agenda Item N\l,;l.W
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Agenda Item No. 16A8
April 13, 2010
Page 7 of 9
LORENZO & RODRIGUEZ-RAMS
JAY J. loRENZO, P.A.
ORLANOO RoORIGUEZ-RAMs, D.M.D.
A1TORNEYS AT LAW
9192 CORAL WAY. SUITE 201
MIAMI, FLORIDA 33]65
TEL.' (3051 227-0727
FAX' (305) 227-1086
JENIFER GOMEZ
Certified Legal Assistant
March 25, 2010
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Jeff E. Wright, Esq., Asst County Atty
County Board of Commissioners
Code Enforcement Board
3301 E. Tamiami Trail, 8th Floor
Naples, Florida 34112
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"For Settlement Purposes Only"
RE: lnteramerican Bank v. S & G Financial Services of S. Fla., Inc.
Case No. 09-5387 CA
Property Address: 6220 and 6240 Collier Blvd., Naples, Florida
Our File No. 01-1339-09
Dear Jeff:
~'.
Enclosed please find check no.: 80283 in the amount of$65,000.00 constituting settlement
proceeds for code enforcement liens referenced in e-mail agreements attached hereto.
It is our understanding that you will hold the check in safekeeping pending Board approval
on April 13, 2010. In the event the Board rejects the settlement offer, you have agreed to
return the check to the undersigned.
Thank you very much for your valuable cooperation in this matter.
Very truly yours,
~~ -=-=-:''>
B:: 'J;y IT~z;S
For the Firm
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cc: Jorge H. Ramos, Esq,
Agustin Velasco, CEO, Interamerican Bank, FSB
Carlos Lopez, SVP, Interamerican Bank, FSB
Agenda ItRag~d. o:!i~8
April 13, 2010
Page 8 of 9
Jay Lorenzo
From: WrightJeff [JeffWright@oolliergovnet]
Sent: Wednesday, March 24, 2010 3:26 PM
To: Jay Lorenzo
Cc: Jorge H. Ramos; flag9-d; WaldronJennifer
Subject: FW: PRIVILEGED & CONFIDENTIAL: 6220 & 6240 Collier Blvd
Jay-
As we discussed this afternoon, this is to confirm that, upon receipt of payment of $65,000 by Friday
(details below), we will hold the funds in safekeeping pending the outcome of the Board meeting on
April 13, 2009. In the statistically unlikely event that the Board rejects the offer, we will return the funds
to their originator (or as instructed by the originator). Please let me know if you need additional
information. Thanks.
Jeff
Jeff E. Wright
Assistant County Attorney
Office of the Collier County Attorney
3301 Tamiami Trail, East
Harmon Turner Building, 8th Floor
Naples, Florida 34112
239-252-8400
239-252-6300 (fax)
PREPARED IN ANTtCIPA TION OF LITIGATION, REFLECTS THE MENTAL IMPRESSIONS, LITIGATION STRA TEGtES AND
LEGAL THEORIES OF THE UNDERSIGNED ATTORNEY AND IS EXEMPT FROM PUBLIC RECORDS DISCLOSURE
PURSUANT TO i 119,07t(IXd), FLA STAT, THIS MESSAGE IS INTENDED FOR THE RECIPIENT ONLY. IF YOU RECEIVED
THtS COMMUNICATION IN ERROR, PLEASE NOTIFY THE SENDER IMMEDlA TEL Y. USE OR DISSEMINATJON BY ANY
PERSON OTHER THAN THE INTENDED RECIPtENT tS STRlCTL Y PROHtBlTED.
From: WrightJeff
Sent: Friday, March 19, 20104:40 PM
To: 'Jay Lorenzo'; Jorge H. Ramos
Cc: f1agg_d; WaldronJennifer; KlatzkowJeff
Subject: PRMLEGED & CONFIDENTIAL: 6220 & 6240 Collier Blvd
Jay and Jorge-
Thanks for taking the time to meet with us on Wednesday. I think it was time well spent for all
involved, and I appreciate all of your efforts. My understanding of the "agreement" we reached
during our meeting is as follows:
1. Upon receipt of payment of $65,000 (in good funds), the Code Enforcement Director will
forward a recommendation to the Board of County Commissioners to accept the offer
to settle two outstanding code enforcement liens, in exchange for full settlement,
release and satisfaction of the liens (which, upon Board approval, will be recorded at the
County's expense).
2. The liens at issue are recorded at O,R. Book 4394, Pages 995, et seq., and at O.R.
3/25/20 I 0
Agenda Ili!agllla. 6Ms
AprTI 13, 2010
Page 9 of9
Book 4398, Pages 3861, ef seq.
3. If accepted by our Board, in consideration of the payment provided, the County will file
full and final release and satisfactions of any and all liens and encumbrances of record
now held by the County, and will relinquish any interest that it may have in or against (1)
Property now known as 6220 and 6240 Collier Boulevard, (2) the Trustee, his agents,
employees, representatives and professionals in case no. 10-15516-LMI, in the U.S.
Bankruptcy Court, Southern District of Florida, and (3) the Bankruptcy Estate in said
case.
4. If accepted by our Board, the County will file a motion to dismiss, with prejudice, its
counterclaim ("Countercomplaint and Cross Complaint") and affirmative defenses in
Case No. 09-05387, now pending in the Circuit Court, Twentieth Judicial Circuit (Collier
County).
5. The offeror is Mr. Ramos, on behalf of the U.S. Bankruptcy Trustee (in case no. 10-
15516-LMI, in the U.S. Bankruptcy Court, Southern District of Florida).
6. If we receive payment by Friday, March 26th, we will place this settlement offer on the
Board's April 13th meeting (otherwise it would have to go on the April 27th, or later
depending on date of receipt of guaranteed funds).
Please let me know if this is consistent with your understanding. Thanks again for your
ongoing cooperation.
Jeff E. Wright
Assistant County Attorney
Office of the Collier County Attorney
3301 Tamiami Trail, East
Harmon Turner Building, 8th Floor
Naples, Florida 34112
239-252-8400
239-252-6300 (fax)
PREPARED IN ANTICIPATION OF LITIGATION, REFLECTS mE MENTAl. IMPRESSIONS, LITIGATION STRATEGIES AND
LEGAL THEORIES OF mE UNDERSIGNED A TIORNEY AND IS EXEMPT FROM PUBLIC RECORDS DISCLOSURE
PURSUANT TO ~ I I9.07t(I)(d), FLA. STAT. THIS MESSAGE IS INTENDED FOR THE RECIPIENT ONLY. IF YOU RECEIVED
THIS COMMUNtCATION IN ERROR, PLEASE NOTIFY THE SENDER tMMEDlATEL Y. USE OR DISSEMINATION BY ANY
PERSON OTHER mAN THE INTENDED RECtPIENT tS STRICTLY PROHIBITED.
From: Jay Lorenzo [mailto:Jlorenzo@lccclaw.com]
sent: Thursday, March 18, 2010 5:20 PM
To: WrightJeff
Cc: Jorge H. Ramos
Subject:
Jeff,
When you are ready to transmit your emailtomorrow, please send it directly to Jorge Ramos so that he can
immediately forward it to Mr. Brown.
Thanks gain,
Jay J. Lorenzo, Esq.
3/25/2010