Agenda 11/09/2010 Item #16A 2
Agenda Item No.1W'
November. 9. *10
Page 1 cil14
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~ to waive fines in 8XClIlIS of $3.7 million, and re....llIlOc-
E~ liens, consistent with the Board's direction during the _tit". '.10
meetIng.1'8I8tIng tQ the Bayshore Club Aparbnents (also known ..'~
Propertlea)~ ,,, "
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That the.~ ~ County Commissioners (Board) approves the waiver of fines and
release of tto JI8ns. consistent with Board direction given during the May 11, 2010
meeting telatingto the Bayshote Club Apartments (a.k.a. Arboretum Properties).
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The 25+ acre subject property is located at the earner Thomasson Drive and Bayshore
Drive. The property contained multiple abandoned apartment ~ildings wiIh',numerous
broken windows. The buildings were illegally occupied by homeless persons that used
the abandoned apartment units as shelter.' Code Enforcement contacted the property
owner of record who advised 'he did not have the funds to add,ress the rriOftIple code
violations. Through the normal process, 1he Special Magistrate ordered the property
owner to address the Code violations. Co(teEnforcement also contacted the bank
holding ~"'fJIQI'tgage on the property who agreed to resolve the Code violations. During
the" . "Qf the apartment buildings,. the bank was shut down by regulators and
FDIC . ;control of the property. FDIC agreed to resume the demolition. During
the i_ FDIC, a 'subordinate lien holder took title to the property and ordered
FDIC's ........'.. ,off the property. The new property owner indicated he did not have
the funds tpi~tethe demolition. The Special Magistrate Orders provided Code
~,i,tbe authority. ~abate the violations and lien the property owner for the
costs. Code"Enforcement,staff, met with FDIC representatives who, by written
agreement;i..aoJ to reimburse the County, for expenses incurred to abate the Code
violations.'tqii,',Board approved the letter agreement with the FDIC on May 11, 2010.
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The ~~cases are in compliance:
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QSM ~.,~. CEAU200g.()()()3065: As a result of code violations .at '45801
Bayshore Drive, the Code Enforcement S~al Magistrate ordered the ImpOsllonof a
liencagalnst the owner, Bayshore Club LP 010 Pinnacle Properties (Respondent). The
,""",.-l'eQOI'ded In the Official Public Records on July 27,2009, at O.R. 4475, Page
c;...rN;~erIyIng viol~~was a chain link fence in need of removal or repair, with
4:' . . e ...of fencing nuSSlng or destroyed. Based on accrued fines for the npn-
..' '.R8riOd ,of 81 days at $50 day, 'plus operational costs in the a . '. 'pf
.."....!accrued lien .amount is $4,167.87. No amounts have been paicf.
~,:f:Mought intocompUance on ~inber 1, 2009. ' .'.
M 9: ~; June 5, 2009, the Code Enfo
>- " foUnd"~ in YrOIation of the Collier County Code of' ~
\
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Agenda Item No. 16A2
November 9, 2010
Page 2 of 14
Ordinances for recurring violations of numerous vacant apartment units", .
~doors and windowS creating a health and safety hazard. This o~
recorded In the Official Public records on June 22, 2009, at O.R 4463, Page 3347.
Respondenl8,were ordered to conect the violations by:
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1) 0btaif!Iing a board permit and boarding' all openings on or before June 1~~ :;1Jog
or a hot $100 per day per unit wit begin to accrue for each day the,tbIiIron
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2) Abating the violation by either obtaining a Collier County building permit,
inSpections. and a Certificate of Completion, or by obtaining a demolition permit,
all required Inspections and a Certificate of Completion, on or before September
5, 2009, or a fine of $100 per day per'unit will be imposed for each day the
violation remains thereafter.
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Due to non-compliance and based on the above order, the Special Magistrate entered a
lien orderdated July 8,2009. The Den order was recorded in the Official Public Records
on July 27, 2009, at O.R. Book 4475, Page 2736. Based on the non-compliance period
of 481 days based on #1 above. at $4,300 ($100 times 43 apartment units) per day, the
accrued Uen amount is $2,068,3OQ. For tile non-compliance period of 394 days based
on #2 above. 81$4,300($100 times 43 apartment units) per day, the accrued Lien
amount is $1,694.200~ - .
, The property ,was brought Into compliance on October 5, 201 O~- The total accrued Lien
amount is $3;782.500.
As per the agreement executed between FDIC and the Board,: FDIC has paid
$200,613.87 to the County for reimbursement of $199,590.80 in demolition costs and
$1,023.07 In operatic)naJ costs for fines waiver and release of liens.
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If appro~,;~the Board, accrued fines In the amount of $3,766,667.87 will~ waived.
GR GE EN. M 'A ':
,~Is..growth management impact, aSSOCiated with this Executive Summary.
MENDA nON:
, Board waNe'Ihe'fInes'end release the liens recorded at O.R. BOok 4475.
127"f;t,,:_ _ O.R. ~ 4475~ Page 2736. of the Official Public Records of
CouidYdli detailed herein. and by approval of this item, authorize the Chairman,
the~.~.
~:
Marlene. S4lMYano, Operations Manager, ,Code Enforcement
Management 1IYksion. Planning and Regulation.
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1) Release aoo Satisfactions of Lien
2) AffidavlOf CompNance Case No: CEAU2009-0003065 '
3) A~vit Of .~Case No: CEPM2OO9-OO,03069
4) May 11. 2010 Ei8Cldiv$ Summary
5) Letter Agreement' between County and FDIC
6) Before and After Photographs
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Item Number:
Item Summary:
Meeting Date:
Prepared By
Marlene Serrano
Community Development &
Environmental Services
Approved By
Judy Puig
Community Development &
Environmental Services
Approved By
Norm E. Feder, AICP
Transportation Division
. Approved By
Diane B, Flagg
Community Development &
Environmental Services
Approved By
Jeff Wright
County Attorney
Approved By
Nick Casalanguida
Transportation Division
Approved By
OMB Coordinator
County Manager's Office
Approved By
Jeff Klatzkow
. Approved By
Therese Stanley
Agenda Item No. 16A2
November 9,2010
Page 4 of 14
COLLIER COUNTY
BOARD OF COUNTY COMMISSIONERS
16A2
Recommendation to waive fines in excess of $3.7 million, and release two Code
Enforcement liens, consistent with the Boards direction during the May 11, 2010 meeting
relating to the Bayshore Club (also known as Arboretum Village),
11/9/20109:00:00 AM
Manager - Code Enforcement Operations
Date
Code Enforcement
10/15/2010 11 :35:24 AM
Operations Analyst
Community Development &
Environmental Services
Date
10/18/20109:23 AM
Administrator - Transportation
Date
Transportation Administration
10/26/201010:21 AM
Director - Code Enforcement
Date
Code Enforcement
10/26/20102:38 PM
Assistant County Attorney
Date
County Attorney
10/27/20101:20 PM
Director - Transportation Planning
Date
Transportation Planning
10/27/20101:21 PM
Date
Office of Management & Budget
10/28/20109:18 AM
County Attorney
Date
10/28/201011:35 AM
Manager - Operations Support - Trans
Date
Agenda Item No, 16A2
November 9,2010
Page 5 of 14
Office of Management &
Budget
Office of Management & Budget
11/1/201012:15 PM
Approved By
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Mark Isackson
Management/Budget Analyst, Senior
Date
Office of Management &
Budget
Office of Management & Budget
11/21201012:09 PM
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Agenda Item No. 16A2
November 9,2010
Page 6 of 14
This Instrument Prepared By:
Jeff E. Wright, Assistant County Attorney
Collier County Attorney's Office
3001 E. Tamiami Trail
Naples, FL 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:
Bayshore Club LP, Indiana L TO Partnership,
c/o Pinnacle Properties, Respondent(s)
The lien was recorded on July 27, 2009, in Official Records Book 4475, Pages 2736-
2740, in the Official Records of Collier County, State of Florida. The lien secures the
prinCipal sum of one hundred twenty thousand five hundred seventeen dollars and
seventy cents, plus accrued penalties in excess of three million dollars, and imposes
certain obligations against real property situated in Collier County, Florida, which
property is described as follows:
4580 Bayshore Drive
Folio No. 61836480008
Collier County, a political subdivision of the State of Florida, by execution of this Release
and Satisfaction of Lien, acknowledges payment as full satisfaction of the lien and
hereby cancels said lien and any underlying orders relating to such 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:
By:
Deputy Clerk
Fred W. Coyle, Chairman
Approved as to form and legal sufficiency
~--~
J E. right
As . ant County Attorney
Agenda Item No. 16A2
November 9,2010
Page 7 of 14
This Instrument Prepared By:
Jeff E. Wright, Assistant County Attorney
Collier County Attorney's Office
3001 E. Tamiami Trail
Naples, FL 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:
Bayshore Club LP, Indiana L TO Partnership,
c/o Pinnacle Properties, Respondent(s)
The lien was recorded on July 27, 2009, in Official Records Book 4475, Pages 2741-
2745, in the Official Records of Collier County, State of Florida. The lien secures the
principal sum of one thousand four hundred seventeen dollars and eighty-seven cents,
plus accrued penalties for a total lien amount of four thousand one hundred sixty-seven
dollars and eighty-seven cents, and imposes certain obligations against real property
situated in Collier County, Florida, which property is described as follows:
4580 Bayshore Drive
Folio No. 61836480008
Collier County, a political subdivision of the State of Florida, by execution of this Release .
and Satisfaction of Lien, acknowledges payment as full satisfaction of the lien and
hereby cancels said lien and any underlying orders relating to such 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:
By:
Fred W. Coyle, Chairman
Deputy Clerk
Approved as to form and legal sufficiency
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Je E. right
Assis ant County Attorney
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COLLIER COUNTY, FLORIDA
OFFICE OF THE SPECIAL MAGISTRATE
Agenda Item No. 16A2
November 9,2010
Page 8 of 14
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OSM CASE NO. CEAU2089000306S
COLUER COUNTY
BOARD OF COUNTY COMMISSIONERS, Petitioner
VS.
Bayshore Club L P
Indiana L TO Paitncrsb.ip
. % Pinnacle Properties, Defcndant(s)
AFFIDAVIT OF COMPLIANCE
STATE OF FLORIDA
COUNTY OF COLLIER
BEFORE ME,.the undersigned authority, personally appeared Thomas Keegan, Code Enforcement Official for the
Hearing before the Special Magistrate of Collier County, who after being fully sworn, deposes and says:
1. That on June Sill, 2009, the Special Magistrate held a hearing and issued an Order in the above-styled matter
and stated that Defendant(s) was to abate all violations as stated in the Order of the Special Magistrate
recorded in the public records of Collier County, Florida in OR Book 4463 PG3344. .
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2. That the respondent did not cOntact the investigator.
3. That a re-inspection was perfonned on September 1-,2009.
4. That the re-inspection(s) revealed that the corrective action ordered by the Special Magistrate was in
compliance by Order B. of the Special Magistrate in which respondent was to remove fence and all debris..
FURTHER AFFIANT SA YETII NOT.
DATED this 3rd day of September, 2009.
COLLIER COUNTY, FLORIDA
IIEARIN~ OF ~GISTRATE
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Thomas Keegan .
Code Enforcement Official
STATE OF FLORIDA
COUNTY OF COLLIER
Sworn to (or affirm~ and subscnDed before me this 3"' day of September 2009 by Thomas Keegan.
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NOTAKf PVBUC-STATI QPFLOIIDA
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Expires: FEB. 03,2013
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REV 1/09JOe
COLLIER COUNTY, FLORIDA
OFFICE OF THE SPECIAL MAGISTRATE
Agenda Item No. 16A2
November 9,2010
Page 9 of 14
OSM CASE NO. CEPM20090003069
COllIER COUNTY
BOARD OF COUNTY COMMISSIONERS, Petitioner
.
vs.
Bayshore Club LP, Indiana l TO
Partnership C/O Pinnacle Properties,
Defendant( s)
AFFIDAVIT OF COMPLIANCE
STATE OF FLORIDA
COUNTY OF COLLIER
BEFORE ME, the undersigned authority, personally appeared Marlene Serrano, Code Enforcement Official for the
Hearing before the Special Magistrate of Collier County, who after being fully sworn, deposes and says:
1. That on June 5th, 2009, the Special Magistrate held a hearing and issued an Order in the above-styled matter
and stated that Defendant(s) was to abate all violations as stated in the Order of the Special Magistrate
recorded in the public records of Collier County, Florida in OR Book 4463 PG3347.
2. That the respondent did contact the investigator.
3. That a re-inspection was performed on October 5th, 2010.
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4. That the re-inspection(s) revealed that the corrective action ordered by the Special Magistrate was in
compliance by obtaining demolition permits, inspections, certificate of completions, and demolish all
structures on property.
FURTHER AFFIANT SA YETH NOT.
DATED this 14 day of October, 2010.
COLLIER COUNTY, FLORIDA
HEARING OF THE SPECIAL MAGISTRATE
~
Code Enforcement Official
STATE OF FLORIDA
COUNTY OF COLLIER
00) and subscribed before me this 14th day of October 2010 by Marlene Serrano.
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(printITypelStarnp Commissioned
Name of Notary Public)
Personally known / ~
NOTARY Pt13L1C-STATE OF FWRIDA
...."...,','.. Kimberly Brandes
i w. ~ Co~missioll # DD926130
or.~~' Exprres: SEP.17,2013
BONDED THRt ATL....'I11C BO:-"D~G co.,INc'
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REV 1/09108
Agenda Item No. 16A2
November 9.2010
Page 10 of 14
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EXECUTIVF. SUMMARY
Reeo__datioa to approve I letter qreement wida the FDIC, a.c u ReceIver for
JIIorida Co_aaJty Buk, to pay the Couty'. 5200,613.17 Ia operatioaalud demolido.
CGIb of the Bayalaore Cub,.... bcnna u the Arboretam Propertr, In eJ:clwlp for waiver
of" eueu of 51,000,800 III na. ..d reIeue of aU ClOd. Iieat.
Agenda Item No. 161<5
May 11, 2010
Page 1 of3
oB.JECrivE: To obtain Board approval of In offer from the FDIC to pay the Co\U\ty'.
S2OO,613.87 in operationU IIIId demolition costs of the Bayshore Chili, also mown IS the
Arbon:tum Property, in exchange for WIivcr of in excess of S 1,000,000 in fines and release of all
code Iieaa.
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CONSIDERATIONS: The propeny commonly known IS the BlYshorc Club, located at the
northwett comer of Blysborc Drive aad Thomasson Avenue, it in signifiClDt Code violatioa,
and ba beea ordered to be demolished. The property is also the subject of two separate and
hiahlY contentious foreclosure proceedings. Code violation fines continue to lICClUC, with the
prcseat fines ~ $1,000.000.
The property JlO8CI a pub!i<<: signifiClDt health and safety thn:at IIDd needs to be dc:molishcd. The
c:ost to the County to demolish the property is $199,590.80.
GM:n the pendina foret:lOSllI'C litigations the County WIIDted ISIUrlIIlCe that if it demolished the
property its costs would be repaid. In furtherance of sut:h, we have negotiated a letter agreement
with the FDIC, which is actina IS the receiver for the Florida Commllllity Bank, which holds the
prinuuy mortp&e. The FDIC has agreed to reimburse the CO\U1ty for the costs of demolition
plus repay the Co\U\ty's operational costs in exchange for a release of the code liens. Once the
property is demolished, the code violations will cease.
As In aside, there is . S] 00 error in the proposed letter agreement. This is being corrected and a
substitute Iettcr agreement wiI] be delivered to the Board.
"SCAL IMPACf: Be<<:ause -Wroval oftbis ]etter agreement involves a c:ommitment to waive
over $],000,000 in accrued tines, upon complete performance of the letter agreement, these
acaucd penalties would be eliminated. The agreed payment amount will reimburse the County
for all of its out-of-pocket costs.
GROWTH MANAGEMENT IMPACf: None.
LEGAL CONSIDERATIONS: This item is legally sufficient for Board action. .J AK
RECOMMENDATION: That the Board approves and aud10rizcs the Chairman to sign the
attached 1ctter agrccrocnt with the FDIC.
PREPARED BY: Jeffrey A Klatzkow, County Attorney
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FDICI
Agenda Item No. 16A2
November 9,2010
Page 11 of 14
Federal Depod Insurance Corporation
t261 Homestead Road, Ste 201, Lehigh Amis, FL 3J936.OO88
As RecBverfor Florida Community Bank, 1mmokaIee, Florida
Diane Flagg, Director
Collier County Code Enforcement
Comer County, Florida
.
May 4, 2010
Re: Collier County Code Enforcement
Special Magistrate Orders issued in
Case Nos: CEAU-2009-OOO3065
CEP~-2~3069
Dear Ms, Flagg,
Please be advised that Sam C. Hill, ill is the attorney-in-fact for the FDIC as Receiver (the "Receiver") of Florida
Community Bank, Immokalee, Florida (the "Receivership") and is duly authorized to act on behalf of the Receiver.
The Receivership holds mortgages which encumber the real properties (the" Arboretum Properties") which are the
subject matter of the referenced orders (the "Orders").
Mr. Hill has the power to authorize and has authorized payment by the Receiver to Collier County, Florida ("the
County") of the sum of $199,590.80 for reimbursement (the "Reimbursement") of certain demolition work (the
"Work") to be undertaken by the County which would completely abate the violations descnOed in the referenced
orders.
The County has agreed to undertake the Work and to complete it, and upon its completion, the County shall issue
to the Receiver an Affidavit of Compliance indicating that all violations cited in the Orders have been completely
abated. Upon the issuance of the Affidavit of Compliance and upon the payment by the Receiver to the County of
the sum of $200,613.87, which represents the sum of $199,590.80 for Reimbursement for the Work. and for
$1,023.07 for operational costs, the Collier County Department of Code Enforcement shall petition the Collier .
County Board of Commissioners to have the fines descnDed in the Orders to be rescinded. leaving the Arboretum
Properties free of any liens arising in connection with the Work.
If this proposal meets with the approval of the Collier County, Florida Department of Code Enforcement, and the
Board of County Commissioners, please signify such approval by the signature below of a person authorized to act
OD behalf of Collier County, Florida.
The FDIC as Receiver
for Florida Community Bank.
Immokalee, Florida
A<<:~
By: Samuel C. Hill, its Attorney-in-Fact
Approved by the Board of County Commissioners, Collier County, Florida
DATED: sh, \ \0 BOARD OF COUNTY COMMISSIONERS
A TrEST: .: '" . COLLIER COUNTY, FLORIDA
DWIGHT Ii lui~etERK
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By. '1uJ- W. ~
FRED W. COYLE, Chairman
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Agenda Item No. 16A2.
November 9,2010
Page 14 of 14
THIS IS A WATERMARKED PAPER-PRINTED WITH BLUE INK-DO NOT ACCEPT WITHOUT VERIFYING WATERMARK-HOLD TO LIGHT TO VERIFY
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Pay Amouut: 5200,613:87***."{
Pay .*TWO HUNDRED rnOUSAND SIX HUNDRED THIRTEEN AND 87/100 DOLLARS..
To TIle
Order 01
COLLIER COUNTY
COLLIER COUNTY
CODE ENDORCEMENT DEPARTMENT
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