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10-3484 - Bank of America (sic) New YorkDate: To: From: RE: Police Department "A CFA Accredited Law Enforcement Agency" 100 E. Boynton Beach Boulevard P. D. Box 310 Boynton Beach, Florida 33425-0310 Phone: t561) 742-6100 Pax. (561) 742-6185 Jeffrey Katz Interim Chief of Police Code Compliance Phone: (561) 742-6120 Fax: (561) 742-6383 LIEN REDUCTION TRANSMITTAL MEMORANDUM July 16, 2013 City Commission Code Compliance Division Code Compliance Case #10-3484 In accordance with Ordinance number 001 -07, the enclosed "Final Lien Modification Order" is hereby forwarded to you for review. As required by Ordinance number 001 -07, the following procedures are to be followed: Li A City Commissioner has seven (7) days from the rendition of the Order to request the City Manager's Office to place the case on a City Commission Agenda for review. (Space provided below for transmittal purposes) o Said review must occur within thirty (30) days of the request for review. u Upon such review, the City Commission may take one of the following actions: a. Uphold the Code Compliance Board's recommendation in full. b. Over -rule the Board's decision in full. c. Modify the Board's Final Order, La The City Commission shall direct staff to take action consistent with their review of the "Lien Modification Order". 1, , hereby request the City Manager's Office to place the above referenced case on the next available City Commission Agenda for review. Signed on this date, the day of 2011. America's Gateway to the Gulfstream Meeting Minutes Code Lien Reduction Boynton Beach, Florida June 26, 2013 a lien reduction and hopefully not be penalized. He reiterated he paid $65Kfor the home, spent $41K to fix it up, so he spent $106K and it was assessed at $72K. He spent more money on the house than it was worth. Based on testimony and evidence presented in the aforementioned case and having been advised that the Respondent has complied with all lien reduction procedures set forth in Section 2-84 through 2-89 of the City of Boynton Beach Code of Ordinances, Vice Chair Cole moved that this Board reduce the fines instituted in the aforementioned case by virtue of this Board's Order of January 20, 2010, to an amount of $3,730,15, including administrative costs. Ms. Yerzy seconded the motion. Chair Costantino inquired what Vice Chair Cole would do for the second case. He responded it was the same situation and he would like to zero out the fine or have administrative costs only. He did not want to penalize the investor for the Bank's actions. Chair Costantino, agreed, but commented the property sat there for a long time and had a direct effect on the community. Ms. Brenner agreed and commented other professionals were involved and no one seemed to do anything. She was sympathetic to Mr. Chirinsky, but thought administrative costs should be separate to the fines for both cases. Ms. Brenner requested Vice Chair Cole amend the amount of the fine in his motion to add administrative fees to this case and the next. Ms. Springer commented the administrative fines were included in the motion. Mr. Chirinsky commented he felt penalized, and he was in over 30% of the value of the property. He acknowledged it was bad the Bank did not do the right thing, but felt anything over administrative fees was punitive to the person who improved the property which was good for the City. Ms. Brenner understood, but explained surrounding property values decreased and the Board wanted people to know the Board was serious. Ms. Brenner requested Vice Chair Cole amend his motion to add the administrative fees. The motion unanimously passed. Case No. 10-3484 Bank of America (sic) New York 215 SW 1st Street Ms. Springer presented the case. The notice of violation was sent December 3, 2010, for violations pertaining to trash and debris and to mow overgrowth. The case was heard February 16, 2011, and no one appeared. The date and fine set by the Board was to correct the violations by February 26, 2011, or a fine of $100 per day would be imposed thereafter. The violations were corrected on June 3, 2013, accruing 827 days E Meeting Minutes Code Lien Reduction Boynton Beach, Florida June 26, 2013 of non-compliance, a fine of $82,700, and administrative fees of $730.15. The information on this case was the same as the prior one. Eric Chirinsky, 1548 SE lith Street, Deerfield Beach, only added he immediately responded to all the violations and corrected them as soon as possible. There were no further questions from the Board. Motion Based on testimony and evidence presented in the aforementioned case and having been advised that the Respondent has complied with all lien reduction procedures set forth in Section 2-84 through 2-89 of the City of Boynton Beach Code of Ordinances, Vice Chair Cole moved that this Board reduce the fines instituted in the aforementioned case by virtue of this Board's Order of February 16, 2011, to an amount of $730.15, including administrative costs. Mr. Borelli seconded the motion that unanimously passed. Chair Costantino introduced Mike Fitzpatrick, one of the new Commissioners, and explained she invited him to the meeting to see the process of how the Board handles these cases. Commissioner Mike Fitzpatrick, 175 SW 2nd Street, explained he came to the meeting at the request of Chair Costantino. He commented one lien was similar to a case that came before the City Commission, and he moved to reduce the fines for much the same reason. The Banks were running from their responsibilities and other people were trying to improve the properties and were stuck with liens. He commented he served on the Board for a few years back in 1987 or 1989. He acknowledged banks have left others with their mess and agreed if the banks could be penalized, he would support it. He also agreed with the perception investors were improving units and putting them back on the market. There are many questions and there should be some dialogue to bring about a resolution. It might help investors if the City could negotiate the price down, so there would be some lien costs the Banks should absorb. He did not know how to get that message out. He thought one solution could be to foreclose the property, take them from banks and give them to investors. Commissioner Fitzpatrick commented the Board has an important job when cases come before the Board. If they did not do it, the City Commission would have to and it was a good system. He applauded the members for coming to the Board and making adjustments. He commented these are extraordinary times. Chair Costantino appreciated Commissioner Fitzpatrick's comments and explained the banks send representatives who advise they did not register the property. The representatives say the property is occupied and they cannot address the issues. 5 CITY OF BOYNTON BEACH Petitioner, V& BANK OF NEW YORK Respondent(s). CODE COMPLIANCE BOARD CITY OF BOYNTON BEACH, FLORIDA CASE NO. 10-3484 LIEN MODIFICATION ORDER THIS CAUSE came before the City of Boynton Beach Code Compliance Board on the Respondent's application for lien reduction on Jane 26, 2013, pursuant to Chapter two, Article five of the City Code of Ordinances. The Board having considered the application, all the facts regarding the specific code or codes the appealing party was in violation of, the date of the original board hearing, the date the affidavit of compliance was issued, the current lien amount and all pertinent information relating to the specific case and being otherwise duly advised in the premises, it is hereupon, ORDERED AND ADJUDGED that: 1. This Board has subject matter jurisdiction of this cause and jurisdiction over the Respondent. 2. The Respondent has met all the lien reduction procedures established by the City Code of Ordinances. 3. The lien imposed by the Board on February 16, 2011 on the Property located at 215 SW Ist St., Boynton Beach, Florida, with the legal description of: BOYNTON HEIGHTS ADD REVISED PL E 15 FT OF LT 29 & LTS 30 TO 32 INC BLK 15, according to the plat thereof as recorded in Plat Book 10, Page 64, of the Public Records of Palm Beach County, Florida, PCN: 08-43-45-28-10-015-0291 is REDUCED TO $730.15. The City shall prepare a release and satisfaction consistent with this Order, The release and satisfaction shall be recorded in the public records of Palm Beach County at the Respondent's expense. 6. This Order is not final until the time period for appeal under the Code has elapsed and if appealed is properly disposed by the City Commission. 7. In the event that the property owner does not comply with the Code Compliance Board order, as approved or modified by the City Commission, within ninety (90) days of Commission's action, the Lien Reduction Order shall be of no further force or effect, and the original lien shall remain on the property. No extensions of the ninety (90) day period shall be permitted, and no further action by the Code Compliance Board or the City Commission shall be permitted regarding lien reduction. DONE AND ORDERED after hearing at City of Boynton Beach, Palm Beach County, Florida thisu day of 2013, Michek Costantino, Chairperson CODE COMPLIANCE BOARD ATTEST:. copies furnished: Honorable Mayor and the City Commission City Attorney City Clerk Respondent OFFICE