Agenda 11/10/2009 Item #16A 9
.Agenda Item No 16A9
November 10. 2009
Page 1 of 12
EXECUTIVE SlJMJVL\RY
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Recommendation to accept a proposeu settlt~rnt~nt. providing for Partial Release of one Lien
and one Order in the Code Enforcement Actions entitled Collier County v. Thomas and
1l1arian Baker, Code Enforcement Eoard C:!~~ Nus. 2003-26 and 2006-62, for payment of
$8,458, to release property known as 2i59 Lakeview Drive (parcel ID 48173480001),
located within Collier County, Florida.
OBJECTIVE:
That the Board of County Commissioners ("Board") accept a proposed settlement agreement
with Deutsche Bank, mortgage holder, to pmiially release a $188,659.15 code enforcement lien
imposed in the Code Enforcement Board action entitled Collier County v. Thomas and Marian
Baker, CEB Case No. 2003-026, and to partially release the finding of fact order in CEB Case
No. 2006-62, in exchange for payment of $8,458, in order to settle a foreclosure lawsuit where
the County has asselied its lien interests.
CONSIDERATIONS:
As a result of various code violations at 5643 Taylor Road, the Code Enforcement Board ordered
the imposition of a lien against the owners, Thomas and Marian Baker (the "Bakers"), in eEB
Case No. 2003-026. This "Order Imposing Lien" was recorded in the OHicial Public Records at
OR Book 3552, Page 0938, and encumbers all real and personal property owned by the Bakers.
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As a result of various code violations at 5705 Taylor Road, the Code Enforcement Board entered
a "Finding of Fact, Conclusions of Law and Order of the Board," which was recorded at OR
Book 4163, Page 0625. This order has not resulted in the imposition 0 f a lien against all real and
personal property owned by Thomas and Marian Baker, but it has been recorded in the public
record. This order functions as notice to subsequent purchasers (assigns, etc.) of code violations
at 5705 Taylor Road as described in the order.
The Bakers also hold title to other property in Collier County, and in May, 2009, Deutsche Bank
filed an action to foreclose on property lmown as 2759 Lakeview Drive (in Circuit COUli Case
No. 09-4249-CA), which is cunently owned by Thomas and Marian Baker. Because the County
held the above-described encumbrances against the Bakers, the County asserted its interests as
superior to Deutsche Bank's mortgage interest in this foreclosure case.
As a result of the County asseliing its interests in this foreclosure lawsuit, Deutsche Bank has
offered to settle the foreclosure lawsuit wjth respect to the County, by paying a sum which
represents 50% of their calculated "pro rata" value of the Order Imposing Lien encumbering
2759 Lakeview Drive. Deutsche Bank's proposed settlement letter and related communications
are attached as Exhibit A; an October 21. 2009 intemal memorandum with additional
infonnation is attached as Exhibit B (without attachments).
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If approved, the Order Imposing Lien (OR Book 3552, Page 0938) would be partially released
with respect to 2759 Lakeview Drive, but will continue to encumber all other (non-homestead)
real and personal property owned by the Bakers. In addition, the order recorded at OR Book
4163, Page 0625 would be partially released with respect to 2759 Lakeview Drive, but would
continue to function as notice to subsequent purchasers of violations at 5705 Taylor Road, as
described in the order.
Agenda Item r\)o, 16A9
November 10. 2009
Page 2 of 12
Finally, because the underlying lier.. in Ca3e No. 2003-026 is so large (over $180,000) and the
violations at 5643 Taylor Road have been abated, the Code Enforcement Department, together
wlth the County Attorney's Office, are \vorking actively l..\Iith the Bakers to resolve this lien on
reasonable- terms. Any such reso 1m 1011 uidi F'(IlJ1xe fi.1tIife Board approv,Jl
FISCAL IMPACT:
Deutsche Bank has provided payment of $8,458, representing the proposed settlement sum, as a
good faith commitment to this agreement, and this payment is currently being held by the County
Attorney's Office pending resolution of this agenda item. The balance on the S 188,659.15 lien
would be reduced by $8,458, to $180,201.15, and the lien would continue to encumber all real
and personal propeliy owned by the Bakers, except 2759 Lakeview Drive.
GROWTH MANAGEMENT IMPACT:
There is no growth management impact associated with this Executive Summary.
LEGAL CONSIDERATIONS: This item is legally sufficient for Board action. -JW
RECOMMENDATION:
rhat the Board ot County CommissIOners accept the proposed settlement offer trom Mortgage
Lender, Deutsche Bank, and authorizes the Chairman to sign the attached Partial Release of Lien
and Pal1ial Release.
PREPARED BY:
Marlene Serrano, Code Enforcement Operations Manager
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Agenda Item No, 16A9
November 10. 2009
Page 3 of 12
COLLIER COUNTY
BOARD OF COUNTY COMMISSIONERS
Meeting Date:
161>,9
~ecommendation to accept a proposed settlement providing tor Partial Release ot one Lien
and one Order in the Code Enforcement !~ctions entitled Collier County v, Thomas and
Marian Baker, Code Enforcement Board Case Nos. 2003-26 and 2006-62. for payment of
$8.458, to release property known as 2759 Lakeview Drive (parcellD 48173480001), located
Within Collier County, Honda,
11/10/2009 9:00:00 AM
Item Number:
!tem Summary:
Prepared By
Marlene Serrano
Investigative Supervisor
Date
CDES
Code Enforcement
10/29/2009 2:Q2:55 PM
A pproved By
Community Development &
Environmental Services
Operations Analyst
Community Development &
Environmental Services Admin,
Date
Judy Puig
10/29/20094:55 PM
Approved By
Diane B. Flagg
Code Enforcement Director
Date
Community Development &
Environmental Services
Code Enforcement
10129/20095:19 PM
Approved By
Joseph K. Schmitt
Community Development &
Environmental Services Adminstrator
Date
Community Development &
Environmental Services
Community Development &
Environmental Services Admin.
10/30/20098:57 AM
Approved By
Jeff Wright
Assistant County Attorney
Date
County Attorney
County Attorney Office
1013012009 10:36 AM
Approved By
OMS Coordinator
OMS Coordinator
Date
County Manager's Office
Office of Management & Budget
10/30/2009 1 :08 PM
Approved By
Jeff Klatzkow
County Attorney
Date
County Attorney
County Attorney Office
10130/2009 3:21 PM
Approved By
Mark Isackson
Budget Analyst
Date
County Manager's Office
Office of Management & Budget
10/30/20094:03 PM
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Agenda Item No, 1GA9
November 10, 2009
Page 4 of 12
This instrument prepared by:
JeffE. Wright
Assistant County Attorney
2800 N, Horseshoe Drive. Ste 30 J
Naples, Florida 34104
(239) 2] 3-2939
PARTIAL RELEASE OF LIEN
This is to certify that the claim of lien ("Lien") arising out of the Code
Enforcement Board Order dated April 26, 2U04, a certified copy of which was recorded
on April 29, 2004, in O.R. Book 3552, Pages 938, et seq., of the Public Records of
Collier County, Florida, against all real and personal property located in Collier County,
owned by Thomas and Marian Baker, has been partially discharged, only with respect to
the following:
Address/Folio No.:
Cost:
Reference:
2759 Lakeview Drive/48173480001
$8,458.00 (by negotiated settlement)
Case No. CEB 2003-26 (cross-ref. CEB 2006-62)
The undersigned is authorized to and does hereby partially release this
Lien, only with respect to the above-named party and parcel, and consents to this
Lien being partially discharged of record with respect to said party. This partial
release does not operate to release any other party or parcel from the Lien or the
terms therein.
Dated this
day of
,2009.
ATTEST:
DWIGHT E. BROCK, Clerk
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA
By:
,By:
, Deputy Clerk
DO~1NA FIALA, CHAIRMAN
Approved as to form and
legal sufficiency:
. right
nt County Attorney
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Agenda Item No,16;:".9
November 1 O. 2009
Page 5 of 12
This instrument prepared by:
JeffE. Wright
Assistant County Attorney
2800 N. Horseshoe Drive, Ste 301
Naples, Florida 34104
(239) 213-2939
PARTIAL RELEASE
This is to certify that any claim of lien or encumbrance arising out of the Code
Enforcement Board Order ("Order") dated December 22, 2006, a certified copy of which
was recorded on January 2, 2007, in O.R. Book 4163, Pages 625, et seq., of the Public
Records of Collier County, Florida, against all real and personal property located in
Collier County, owned by Thomas and Marian Baker, has been partially discharged, only
with respect to the following:
AddresslFolio No.:
Cost:
Reference:
2759 Lakeview Drive/48173480001
$8,458.00 (by negotiated settlement)
Case No. CEB 2006-62 (cross-ref. eEB 2003-26)
The undersigned is authorized to and does hereby partially release this
Order, only with respect to the above-named party and parcel, and consents to this
Order being partially discharged of record with respect to said party and parcel.
This partial release does not operate to release any other party or parcel from the
Order or the terms therein.
Dated this
day of
,2009.
ATTEST:
DWIGHT E. BROCK, Clerk
BOARD OF COlJNTY COMMISSIONERS
COLLIER COUNTY, FLORlDA
By:
By:
, Deputy Clerk
DONNA FIALA, CHAIRMAN
Approved as to form and
legal sufficiency:
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Assistant County Attorney
9zun1es /Bm4v w
1595 Panther Lane
Suite 300
\,!pb Florida 34]f)9-7874
Tel 239.262,5959
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Agenda Item No, 16,t,9
November 10, 2009
Page 6 of 12
AttQrnc}'s at Lau' in:
Phoenix and Tucson, Arizo1Ul
Naples. Fforida
Chicago, Illinois
Milwaukee and Madison, Wisconsin
Writer's Direct Dial 239,659,5026
""'riter's Fax: 239,213.5426
E-Mail: benjamin.brown@quarles.com
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October 14, 2009
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JeffE. Wright, Esq.
Assistant County Attorney
Office of the Collier County Attorney
3301 Tamiami Trail E.
Harmon Turner Building, 8th FIr.
Naples,FL 34112
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RE: Deutsche Bank National Trust Company as TrusteeJor the GSAA Home
Equity Trust 2006-8, et aL v. Baker, et at.; Collier Country Circuit Case No.
09- 004249-CA.
Dear Jeff:
Please find enclosed a check made payable to the Collier County Board of County
Commissioners in the amount of $8,458.00. This check represents the agreed-upon settlement
for the release of the two code enforcement liens and the dismissal of Collier County's claims, as
more particularly set forth in my September 24, 2009 correspondence, a copy of which is also
attached.
Until such time as the Board votes to approve the settlement, please hold the check
un cashed in escrow. Also, once the agenda item is prepared, let me know the date when this
matter is set for approval before the Board so I can attend the meeting,
Best,
QUAR~s.E~& BRADY LLP
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Enclosure
cc: ClIent
Mark A. Olivera, Esq. (via U.S, mail)
Diane Flagg (via email onlytodianeflagg@colliergov.net)
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Agenda Item No, 16A9
November 10. 2009
Page 7 of 12
Quarles /Bmdy LL?
r 395 p..lI1ther Lane
Suite :WO
Naples, Borida 34109-7874
Tel 239.262.5959
fllX 239.434.4999
www.quarles.com
Attorneys at Law in:
Phoenix and Tucson, Arizona
Naples, Florida
Chicago, Illinois
Milwaukee Clnd Madison, Wisconsir:
Writer's Direct Dial: 239,659.5026
Writer's Fax: 239,213.5426
E-Mail: benJamin.brown@quarles,colll
September 24,2009
VIA EMAIL (jeffivright@.colliergov.net)ANDU.S.MAIL
JeffE. Wright, Esq.
Assistant County Attorney
Office of the Collier County Attorney
3301 Tamiami Trail E.
Harmon Turner Building, 8th FIr.
Naples, FL 34112
RE: Deutsche Bank Nation.al Trust Company as Trustee for the GSAA Home
Equity Trust 2{)06-8, et aL v. Baker, et al.: Collier Country Circuit Case No.
09- 004249-CA.
Dear Jeff:
It appears that Deutsche Bank and Collier County may be able to reach an
early settlement in the above-referenced lawsuit. Before any agreement is made, I would like to
confirm the terms. Upon payment of $8,458.00 by check made payable to the Collier County
Board of County Commissioners, Deutsche Bank requires that Collier County:
1. Within ten days, dismiss with prejudice all counts of its counterclaim/crossclaim
and affirmative defenses;
2. Within thirty days, execute and record a partial release of the liens recorded at
Official Records Book 3552, Page 938, et seq, and Official Records Book 4163, Page 625, et
seq. as to the property known as 2759 Lakeview Drive, Naples, Florida 34112, and more
formally described as "Lot 7, Block 5, Gulf Shores, according to the Plat Recorded in pl<it Book
4, Page 50, Public Records of Collier County, Florida;"
3. Release the subject property from any other lien, encumbrance, claim or lIability
that may arise out of CEB-2003-026, CEB-2006-62, or any other code enforcement action, in
existence as of the date of settlement; and
4. Agree that each party will bear its own costs and attomeys' fees incurred.
Please confirm whether Collier County agrees to the tem1S above. If so, given that this
matter must be approved by the CCBCC, I presume you are better familiar with the fonn of
settlement agreement necessary and would defer to you to fonnalize the agreement and prepare
same for the CCBCC's consent agenda.
QB\8868562, J
i6,genda item No, 16A9
November 10. 2009
Page 8 of 12
JeffE. Wright, Esq,
September 24,2009
Page 2
If you have any questions or care to discuss this matter in further detail, please do not
l1esitate to contact me
Best,
QUARLES & BRADY LLP
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-l Benjamin B. Brow~
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cc: Client
Mark A. Olivera, Esq. (via C.S t'Hiil)
Diane Flagg (via email onlytodianeflagg@colliergov.net)
QB\8868562. ]
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9000 E Pima Center Parkway
Scottsdale, AZ' 85258
Agendal~~388,~~
r\lovember 10,2009
Page 9 of 12
'Supplier Number I 90399
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Customer Number
Invoice Date Invoice Number Reference Invoice Amount Description PO Number
06-0ct-2009 FL-0901203619 8,458.00 3-FL-0901203619
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Total 8,458.00
11'00 ~o 2B8 28 bll' ': ~ 2 2 2... ~ 255': ~o ~oo ~OoOOIl'
QuorltslBmdy UP
139; Panther Lane
Suite 300
!'iap!c", Florida 34109-7874
Ie] 23926259;9
Fax 239.4344999
wv,w,quarles,com
l>,qenda Item No, 1 GA.9
-' ~Jo\lember 10. 2009
Page 10 of 12
Attorne)'s at Law in:
Phoenix and Tucson, Arizona
Naples, Florida
Chicago, Illinois
Milwaukee and Madison, Wisconsil
Writer's Direct Dial: 239,659,5026
Writer's Fax: 239.2] 3,5426
E-Mail: benjamin.brown@quarles.com
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September 18, 2009
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VIA EMAIL ljeffwright@.colliergov.net)ANDU.S.MAIL
JeffE. Wright, Esq.
Assistant County Attorney
Board of County Commissioners
Collier County, Florida
Harmon Turner Building, 8th FIr.
3301 Tamiami Trail E.
Naples, FL 34112
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RE: Deutsche Bank National Trust Company as Trustee for the GSAA Home
Equity Trust 2006-8, et aL v. Baker, et aL; Collier Country Circuit Case No.
09-CA-004249
PURSUANT TO S 90.408, FLORIDA ST A TUTES, THIS
LETTER CONTAINS AN OFFER TO COMPROMISE A
DISPUTED CLAIM AND IS INADMISSIBLE IN ANY
PROCEEDING.
Dear Jeff:
As you know, I represent Deutsche Bank in the above referenced lawsuit. Per Collier
County's Answer and Counterclaimlcrossclaim, it claims first priority code enforcement liens on
the property located at 2759 Lakeview Drive, Naples, Florida (the "subject property"), in the
total amount of $188,659.15. Additionally, Collier County has taken the position that its liens
attached to all properties then o\'med J.."1d thereafter acquired by Marian & Thomas Baker.
Deutsche Bank disagrees with Collier County's position, as__g?}li~r__ County Ordinance 99-26
specifically excluded any other property owned by the Bakers.-- such as the subject property.
However, assuming arguendo that Collier County is correct and that the two liens
attached to all properties owned by the Bakers, the liens would attach to the following properties
which have the following assessed values per the Collier County Property Appraiser:
Gulf Shores Blk 6 Lot 4
5705 Taylor Rd.
338 Ridge Dr.
1585 Pine Ridge Rd.
2759 Lakeview Drive
5643 Taylor Rd.
$196,560
$474,132
$829,622
$705,160
$289,380
$732,531
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Agenda Item ~~o. 16A9
November 10, 2009
Page 11 of 12
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JeffE. Wright, Esq.
September 18, 2009
Page 2
Accordingly, the total value of all the properties is $3,227,385 and the proportionate
value of the subject property is 8.9%. As such, the subject property's pro rata share of any
indebtedness would only be $16,915.17. Furthermore, you indicated during our last conversation
that Collier County would be willing to waive the late fees (totaling $164,700), or a substantial
portion thereof, given that: I) the subject property was not the violating property; 2) any code
violation has long since been rectified; and 3) most of the late fees were incurred during the
pendency of an appeal. As such, please let me know whether Collier County would agree to
grant a partial release of its liens as to the subject property only (to the extent the liens ever
attached) and a dismissal of its counterclaimlcrossclaim and affirmative defenses relating to the
liens, with prejudice, in return for the payment of $2,500.00, with each party to bear its own
attorneys' fees and costs.
I look forward to hearing from you.
Best,
.QUARLES & BRADY LLP
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Mark A. Olivera, Esq. (via U.S. mail)
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MEMORANDUM
Agenda Item tJo, 16/1,9
November 10. 2009
Page 12 of 12
To;
Diane Flagg, Director, Code Enforcement/PJjment
Jeff Wright, Assistant County Attorney t1
October 21, 2009
From:
Date:
Subject:
PROPOSED SETTLEMENT PAYMENT - Collier County v. Thomas and
Marian Baker (CEB Case Nos. CEB-2003-026 and CEB 2006-62, Circuit
Court Case No. 09-4249-CA)
Attached please find correspondence and a copy of a check (First American Title
Insurance Company check no. 10288286) in the amount of $8,458.00, representing a
proposed settlement in relation to the following cases:
1, CEB 2003-026 (lien at OR Book 3552, Paqe 938): This is a $188,659.15 lien;
the property is in compliance. This is the case where citizen Tom Baker went to
some length to bring property (5643 Taylor Road) into compliance (he also
appealed the code case in court and lost). Deutsche Bank is in the process of
foreclosing on 2759 Lakeview Drive, and we have asserted the "Taylor Road"
lien in the foreclosure action. The attached check represents approximately 8.9%
(the calculated "pro rata share") of the total value of this lien relative to Baker's
other 5 properties, or $16,915,17, multiplied by 50%. If approved, a partial
release will be recorded in the public record (releasing this property, and this
party, from the 'Taylor Road" lien),
2. CEB 2006-62 (order at OR 4163, Paqe 625): This case (with fines exceeding
$10,000) does not involve a lien (yet), and they are requesting release from this
"finding of fact" order (relating to vegetation removal at 5705 Taylor Road). Since
it does not yet involve a lien, it has not yet attached to the Lakeview Drive
property, and the underlying infraction is in compliance, I have no problem
releasing Deutsche Bank from this "finding of fact order". If the BCC approves a
partial release from this order, the lien can still be imposed, but it would not
encumber the 123 1 st St property.
Deutsche Bank's attorney, Ben Brown, Esq., has requested that I hold the check
uncashed, pending BCC approval of the settlement. Please let me know whether you
are comfortable going to the BCC with a settlement recommendation (partial release for
123 1 st Street, on both cases, for payment of $8,458).
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EXHIBIT
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cc: Jeffrey A. Klatzkow, County Attorney
Office of the Collier County Attorney
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