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Agenda 05/11/2010 Item #10A EXECUTIVE SUMMARY Agenda Item NO.1 OA May 11, 2010 Page 1 of 3 Recommendation to review potential changes to Resolution 2001-316 relating to settlement of Code Enforcemeut liens in accordance with direction provided by the Board of County Commissioners on April 13, 2010, and provide direction to the County Manager and the County Attorney as to any such changes that wiD be incorporated into amending and superseding the resolution, including criteria for the recommendation of settlement. OBJECTIVE: To obtain the Board of County Commissioners (BOCC) approval of the proposed change to the Code Enforcement Director's authority in settling and compromising code enforcement liens and providing guidance on the criteria used to make recommendations to the BOCC. CONSIDERATIONS: The existing Resolution, Resolution No, 2001-3] 6, provides procedures and criteria for settling and compromising code enforcement liens and authorizes the Director of the Code Enforcement Department to compromise and settle code enforcement liens that do not exceed $15,000.00. On April 13, 2010, agenda item 16AlO was moved to item 10D in order to discuss the current criteria and process being used to abate Code Enforcement liens on properties that were brought into compliance under the existing Resolution. Resolution 2001-316 utilizes the following criteria for compromising and release of Code Enforcement liens: . Fine/lien amount is fixed and no longer accruing on a periodic basis and the underlying violation(s) resulting in the fine/lien has been abated or corrected by the violator. . The Fine/Lien amount does not exceed $15.000. . The violator has not committed previous or subsequent violations. . The extent to which the payment of the full lien amount would impose a severe financial hardship on the violator. . The amount recovered will equal or exceed the costs and expenses incurred by the County in prosecuting the violation and obtaining, recording, and enforcing the fine/lien. The Board asked staff to consider a fair and reasonable way to treat all parties equitably and at a minimum recoup costs incurred to manage the process and that recommendations from the Code Enforcement Director shall not be unduly discriminatory towards class of ownership and consistent with the approved criteria. In light of the numerous foreclosures affecting our community and the subsequent sale of properties by banks and property owners to new purchasers, the updated Resolution should continue to require abatement of the Code violation(s) and compliance before a settlement agreement is considered and that settlement agreements equal or exceed the costs incurred by the County. Staff recommends the following options for the Board's consideration: . That the Code Enforcement Director has no direct ability to compromise fines/liens without Board approval and only recommends the settlement amount based on the following criteria: Agenda Item No. 10A May11,2010 Page 2 of 3 e Fine/lien amount is fixed and no longer accruing on a periodic basis and the underlying violation(s) resulting in the fine/lien has been abated or corrected. e The history the offering party has with prior violations. o The extent to which the payment of the full lien amount would impose a severe financial hardship on the offering party. o The amount recovered will equal or exceed the costs and expenses incurred by the County in prosecuting the violation and obtaining, recording, and enforcing the fine/lien. o That fines accrued prior to the issuance of a certificate of title to the new owner, would be considered for a waiver as long as the new owner has diligently pursued abatement. o That fines accrued by an existing owner would be considered for a waiver as long as the existing owner has diligently pursued abatement. This will continue to ineentivize banks to abate the Code violations prior to taking certificate of title, which averages more than a year from the filing of a lis pendens to certificate of title. Prospective buyers will also be able to factor in the cost of abatements and fines when offers of purchase are made to the bank or property owner. Additionally, the amended criteria incentivize the current business or property owners to abate Code violations. FISCAL IMPACT: There is no fiscal impact. The Board will approve recommended waivers. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this Executive Summary. LEGAL CONSIDERATIONS: This item is legally sufficient for Board aetion.-JW RECOMMENDATION: That the Board directs to the County Manager, or his designee and the County Attorney to prepare changes that will be incorporated into an amending and superseding resolution, in order to amend the Code Enforcement Director's authority and criteria used for the recommendation of settlement. PREPARED BY: Diane B. Flagg, Code Enforcement Director Item Number: Item Summary: Meeting Date: Agenda Item No. 10A May 11, 2010 Page 3 of 3 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS 10A Recommendation to review potential changes to Resolution 2001-316 relating to settlement of Code Enforcement liens in accordance with direction provided by the Board of County Commissioners on April 13, 2010, and provide direction to the County Manager and the County Attorney as to any such changes that will be incorporated into amending and superseding the resolution, including criteria for the recommendation of settlement. (Diane Flagg, Code Enforcement Director) 5/11/20109:00:00 AM Manager ~ Code Enforcement Operations Date Prepared By Marlene Serrano Community Development & Environmental Services Code Enforcement 4/19/20104:36:18 PM Date Approved By Judy Puig Community Development & Environmental Services Operations Analyst Community Development & Environmental Services 4/20/20104:39 PM Diane B. Flagg Director - Code Enforcement Date Approved By Community Development & Environmental Services Code Enforcement 4/20/2010 4:45 PM Assistant County Attorney Date Approved By Jeff Wright County Attorney County Attorney 4/20/20104:58 PM Nick Casalanguida Director. Transportation Planning Date Approved By Transportation Division Transportation Planning 4/20/2010 5:23 PM Approved By Jeff K!atzkow County Attorney Date 4/28/20103:10 PM Date Approved By OMS Coordinator County Manager's Office Office of Management & Budget 5/3/201012:42 PM Leo E. Ochs, Jr. County Manager Date Approved By County Managers Office County Managers Office 5/4/20109:24 AM