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Item H4 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: March 19, 2014 Division: Growth Mana eg ment Bulk Item: Yes X No _ Department: Code Compliance Staff Contact Person/Phone #: Ronda Norman X2520 & Lisa Grauer_ X3470 AGENDA ITEM ''CORDING: Approval of a resolution formalizing the procedures to be used after a Final Order has been rendered by the Code Compliance Special Magistrate to initiate injunctive relief for non-compliant properties, foreclosure and/or money judgment actions for collection of unpaid fines and/or costs from a property owner. ITEM BACKGROUND: During recent discussions, the Board has expressed concern that some code violations languish unresolved long after fines and/or costs have been imposed by Final Order of the Code Compliance Special Magistrate. The Board directed staff to develop a proposed policy to ensure that liens are properly and timely filed, that efforts to encourage compliance are maintained after fines are imposed and to encourage payment of outstanding fines and/or costs. Staff has drafted the attached proposed policy for the Board's further consideration. In short, it directs staff to: a) record Final Orders Imposing Fines as liens in the official records within 14 calendar days of the Compliance date for those cases which have NOT achieved compliance and which have outstanding fines or fines plus repair costs, or within 45 days of the compliance date for those cases which have achieved compliance but continue to have outstanding fines and/or costs; b) continue to work with property owners to achieve compliance; and c) to bring the non-compliant cases or unpaid fines or costs cases to the Special Magistrate and/or the Board for direction on further enforcement efforts to be brought as soon as legally allowed. There are a number of potential options for addressing the non-compliant and/or unpaid cases including: A) Initiating litigation in Circuit Court to: 1. Seek injunctive relief to enjoin the violations; 2. Foreclose the lien on non-homesteaded property; 3. Seek a money judgment on fines levied after October 1, 2000 on non- homesteaded property; 4. Seek a Writ of Attachment of personal property of the property owner of non- homesteaded property; or B) Allowing the liens to remain in place until the property is sold or refinanced; or C) Referral to other agencies with jurisdiction in appropriate circumstances. PREVIOUS RELEVANT BOCC ACTION: CONTRACT/AGREEMENT CHANGES: NIA STAFF RECOMMENDATIONS: Approval TOTAL COST: INDIRECT COST: BUDGETED: Yes No DIFFERENTIAL OF LOCAL PREFERENCE: COST TO COUNTY: SOURCE OF FUNDS: REVENUE PRODUCING: Yes_ AMOUNT PER MONTH[ Year APPROVED BY: County Atty �WMB/Purchasing Risk Management DOCUMENTATION: Included x Not Required DISPOSITION: AGENDA ITEM# March 19, 2014 Code Lien Procedure J. MONROE COUNTY, FLORIDA RESOLUTION NO. -2014 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA, ADOPTING THE PROCEDURES TO BE USED AFTER A FINAL ORDER HAS BEEN RENDERED BY THE CODE COMPLIANCE SPECIAL MAGISTRATE TO INITIATE INJUNCTIVE RELIEF FOR NON-COMPLIANT PROPERTIES, FORECLOSURE AND/OR MONEY JUDGMENT ACTIONS FOR COLLECTION OF UNPAID FINES AND/OR COSTS FROM A PROPERTY OWNER; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Section 162.09(1), Florida Statutes and Monroe County Code Section 8-31(a) give the Special Magistrate appointed to hear Code Compliance cases the authority to impose fines and costs including the cost of repairs if the County is forced to make repairs, after a finding that the property owner has violated the Monroe County Code(s); and WHEREAS, pursuant to Section 162.09(3), Florida Statutes and Monroe County Code 8- 31(c), a certified copy of an Order imposing a fine or a fine plus repair costs may be recorded in the public records and thereafter constitute a lien against the land on which the violation exists and upon any other real or personal property owned by the violator; and WHEREAS, a certified copy of the Order imposing the fines and costs becomes a lien on all real and personal property owned by the violator once recorded with the County Clerk; and WHEREAS, the County has the authority to initiate litigation to enforce its codes and recorded liens; and WHEREAS, the initiation of litigation may be the only incentive for some property owners to gain compliance; and WHEREAS, the Board of County Commissioners finds it in the public's interest to have a formalized written procedure to be used after a Final Order has been rendered by the Code Compliance Special Magistrate to initiate injunctive relief on non-compliant properties, foreclosure and/or money judgment actions for collection of unpaid fines and/or costs from a property owner; March 19, 2014 Code Lien Procedure NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY: Section 1: The County's formal procedure is hereby adopted as set forth in Attachment A: PROCEDURES TO BE USED AFTER A FINAL ORDER HAS BEEN RENDERED BY THE CODE COMPLIANCE SPECIAL MAGISTRATE TO INITIATE INJUNCTIVE RELIEF FOR NON-COMPLIANT PROPERTIES, FORECLOSURE AND/OR MONEY JUDGMENT ACTIONS FOR COLLECTION OF UNPAID FINES AND/OR COSTS FROM A PROPERTY OWNER. Section 2: This resolution and the incorporated policies shall become effective upon adoption by the County Commission. PASSED AND ADOPTED BY THE BOARD OF COUNTY COMMISSIONERS of Monroe County, Florida, at a regular meeting of said board held on the of , 2014. Mayor Sylvia Murphy Mayor pro tem Danny L. Kolhage Commissioner Heather Carruthers Commissioner George Neugent Commissioner David Rice BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA BY: Mayor Sylvia Murphy (SEAL) ATTEST: AMY HEAVILIN, CLERK Deputy Clerk OE CO ATTORP4EY a � 00A dimmm ASS/ Deft March 19, 2014 Code Lien Procedure ATTACHMENT A PROCEDURES TO BE USED AFTER A FINAL ORDER HAS BEEN RENDERED BY THE CODE COMPLIANCE SPECIAL MAGISTRATE TO INITIATE INJUNCTIVE RELIEF FOR NON-COMPLIANT PROPERTIES FORECLOSURE AND/OR MONEY JUDGMENT ACTIONS FOR COLLECTION OF UNPAID FINES AND/OR COSTS FROM A PROPERTY OWNER I. Special Magistrate (SM) enters a Final Order imposing a compliance date, fines and/or costs after a finding of violation of Monroe County Code(s) by property owner(violator) or approving a Stipulated Agreement with an agreed upon compliance date and fine amounts. The Final Order of SM providing the compliance date, and imposing fines and/or costs is provided to the property owner as soon as practicable. Referrals, if not made previously, are made to other agencies in appropriate circumstances. 2. The Final Order of the SM is recorded by Code Compliance (CC) as a lien by Code Compliance within 14 days after the compliance date for those cases that have not achieved compliance. 3. The Final Order of the SM is recorded as a lien by CC within 45 days after the compliance date for those cases that have achieved compliance by the compliance date but have outstanding costs in excess of$200. 4. If compliance is not achieved within 75 days of the recording of the lien, then a re-inspection of the property is completed by the Code Inspector assigned to the case. If the property is still not in compliance then a demand letter including the current amount of fines and/or costs is sent to the property owner. 5. If compliance is not achieved within 90 days of the recording of the lien and/or the lien is not satisfied, then CC will research the subject property to determine: i, if the subject property is homesteaded; ii. if the subject property is the only property owned by property owner/violator; iii. what efforts, if any,the property owner has made to achieve compliance; iv. the amount of the lien accrued to date; and v. any other relevant factors, including but not limited to researching the status of the property owner, i.e. any Lis Pendens filed against the property or property owner, any pending or closed foreclosure actions, any open, pending or discharged Bankruptcy petitions. 6. CC staff shall provide a written memo or email to the County Attorney's Office (CAY) with the results of the research outlined and requested further action. 7. The CAY will review the information provided by CC staff. 8. The CAY will move the SM per F.S. 162.09 for an Order authorizing foreclosure or a money judgment action; and, March 19, 2014 Code Lien Procedure i. The Code Compliance Liaison (Liaison) will schedule the motion for the next available SM hearing for a Motion for approval to proceed with a foreclosure and/or money judgment action; ii. The Liaison will mail a Notice of Hearing and Notice of Motion prepared by the Liaison and signed by the CAY to the property owner by certified mail noticing the owner of the date, time, place and the substance (collection action, foreclosure and/or money judgment and/or writ of attachment) of the motion; iii. The Liaison will email/calendar a re-inspection request to the assigned Inspector to conduct inspection prior to the next available SM hearing; iv. The Motion hearing is heard by SM on the specified date; v. If SM finds foreclosure or money judgment is appropriate, the Liaison will notice the property owner of the SM's ruling and email/calendar a re-inspection request to the assigned Inspector to conduct an inspection within 30 days of the SM ruling; vi. CAY will seek permission from.the Board of County Commissioners to file for foreclosure or money judgment in court; vii. The assigned Code Inspector will continue to monitor the property for compliance through re-inspections every 90 days and attempts to notify the owner by a quick email letter, telephone call or demand letter every 90 days to inform them that the property is not in compliance and fines are running. The assigned Code Inspector will provide written updates to the CAY every 90 days. 9. Subsequent to the SM's ruling on the Motion, the CAY will place an item on the Commission's agenda seeking the Board's direction and authorization on further enforcement and collection efforts. Potential options for litigation include seeking injunctive relief, a money judgment for the unpaid fines, foreclosure, or other relief. Potential non-litigation options include referral to another agency, allowing liens to accrue, or other relief. 10. If the recommended legal action is referral to another agency, release of lien, or allowing liens to accrue, CAY will send a written memo or email to the Director of Code Compliance outlining recommendation. 11. Once authority is granted by SM and/or Board of County Commissioners, CC will order a title search on non-homesteaded properties, and the assigned Code Inspector will conduct a re- inspection after receipt of the title search. Litigation will commence after the title search is completed and a current re-inspection is completed. The assigned Code Inspector will continue to monitor the property for compliance through re-inspections every 90 days and attempts to contact the property owner by a quick email letter, telephone call or demand letter every 90 days that the property is not in compliance and fines are running. The assigned Inspector will provide written updates to the CAY every 90 days. 12. If the Board decides not to authorize injunction or enforcement litigation, a decision from the Board could include direction to: i. Allow lien to remain filed and accrue interest until sale or refinancing; or ii. Release the lien; or iii. Request CC staff to provide a progress report on compliance efforts annually at the March BOCC meeting. Exception---If a violation poses a serious threat to the public health, safety & welfare then immediate permission to file an action for an inspection warrant, injunction and/or demolition may be sought with BOCC direction. March 19, 2014 Code Lien Procedure