[HISTORY: Adopted by the Township Committee of the Township
of Harrison as indicated in article histories. Amendments noted where
applicable.]
[Adopted 7-6-2015 by Ord.
No. 11-2015]
[Amended 10-17-2022 by Ord. No. 37-2022]
It is the purpose and intent of the Township of Harrison to
establish a process to address the increasing amount of abandoned,
foreclosed or distressed real property located within the Township,
and to identify, regulate, limit and reduce the number of abandoned
properties located within the Township. It is the Township of Harrison's
further intent to participate in the registration program as a mechanism
to protect neighborhoods from becoming blighted due to the lack of
adequate maintenance and security of abandoned and foreclosed properties.
The following words, terms and phrases, when used in this article,
shall have the meanings ascribed to them in this section, except where
the context clearly indicates a different meaning.
Any real property located in the Township of Harrison, whether
vacant or occupied, that is in default on a mortgage, has had a lis
pendens filed against it by the lender holding a mortgage on the property,
is subject to an ongoing foreclosure action by the lender, is subject
to an application for a tax deed or pending tax assessors lien sale,
or has been transferred to the lender under a deed in lieu of foreclosure.
The designation of a property as "abandoned" shall remain in place
until such time as the property is sold or transferred to a new owner,
the foreclosure action has been dismissed, and any default on the
mortgage has been cured.
A property that is accessible through a compromised/breached
gate, fence, wall, etc., or a structure that is unsecured and/or breached
in such a way as to allow access to the interior space by unauthorized
persons.
To include, but not be limited to, the Township of Harrison's
Zoning Code, the Township of Harrison's Code of Ordinances ("Township
Code"), and the New Jersey Building Code.
means:
Properties that have broken or severely damaged windows, doors,
walls, or roofs which create hazardous conditions and encourage trespassing;
or
Properties whose maintenance is not in conformance with the
maintenance of other neighboring properties causing a decrease in
value of the neighboring properties; or
Properties cited for a public nuisance pursuant to the Township
Code; or
Properties that endanger the public's health, safety, or welfare
because the properties or improvements thereon are dilapidated, deteriorated,
or violate minimum health and safety standards or lacks maintenance
as required by the Township Codes.
A mortgagee or an agent or assignee of a mortgagee, such
as the servicer, who has filed a complaint in the Superior Court seeking
to foreclose upon a residential or commercial mortgage. If the entity
seeking to foreclose upon the residential or commercial mortgage changes
as a result of an assignment, transfer, or otherwise after the filing
of the foreclosure complaint in the Superior Court, the new entity
shall be deemed the creditor for purposes of this section. For purposes
of this section, a creditor shall not include the state, a political
subdivision of the state, a state, county or local government entity,
or their agent or assignee, such as the servicer.
[Added 10-17-2022 by Ord. No. 37-2022]
Any law enforcement officer, building official, zoning inspector,
code enforcement officer, fire inspector or building inspector, or
other person authorized by the Township of Harrison to enforce the
applicable code(s).
Any person, legal entity or other party having any ownership
interest whether legal or equitable, in real property. This term shall
also apply to any person, legal entity or agent responsible for the
construction, maintenance or operation of the property involved.
An owner, agent, local property manager, property maintenance
company or similar entity responsible for the maintenance of abandoned
real property.
Any building or structure that is not legally occupied.
These sections shall be considered cumulative and not superseding
or subject to any other law or provision for same, but rather be an
additional remedy available to the Township of Harrison above and
beyond any other state, county or local provisions for same.
[Amended 10-17-2022 by Ord. No. 37-2022]
Pursuant to the provisions of § 210-5, the Township of Harrison or its designee shall participate in the registration program for the purpose of cataloging each abandoned property and/or foreclosed property within the Township of Harrison, containing the information required by this article.
A.
Any creditor who holds a mortgage or equity lien on real property
located within the Township of Harrison shall perform an inspection
of the property to determine vacancy or occupancy, upon default by
the mortgagor. The creditor shall, within 10 days of the inspection,
register the property with the Code Enforcement Office, or its designee,
on forms or website access provided by the Township of Harrison, and
indicate whether the property is vacant or occupied. A separate registration
is required for each property, whether it is found to be vacant or
occupied. As part of the registration, the owner or creditor shall
provide the municipality with:
[Amended 10-17-2022 by Ord. No. 37-2022]
(1)
Identify
the date the summons and complaint in an action to foreclose on a
mortgage was filed against the subject property, the court in which
it was filed, and the document number of the filing; and
(2)
Identify
whether the property is vacant and abandoned in accordance with the
definition in this chapter.
B.
If the property is occupied but remains in default, it shall be inspected
by the creditor or his designee monthly until:
[Amended 10-17-2022 by Ord. No. 37-2022]
(1)
The mortgagor or other party remedies the default; or
(2)
It is found to be vacant or shows evidence of vacancy at which time
it is deemed abandoned, and the creditor shall, within 10 days of
that inspection, update the property registration to a vacancy status
on forms provided by the Township of Harrison.
C.
Registration pursuant to this section shall contain the name of the
creditor and/or the servicing entity, if any, the direct mailing address
of the creditor and/or the servicing entity, a direct contact name
and telephone number for both parties, facsimile number and e-mail
address for both parties, the folio or tax number, and the name and
twenty-four-hour contact telephone number of the property management
company responsible for the security and maintenance of the property.
A creditor located out of state shall be responsible for appointing
an in-state representative or agent to act for the foreclosing creditor.
[Amended 10-17-2022 by Ord. No. 37-2022]
D.
The following annual registration fees shall accompany the registration
form or website registration: 1) $500 per property annually for any
property that is required to be registered because a summons and complaint
in an action to foreclose was filed by the creditor; and 2) an additional
$2,000 per property annually if the property is vacant or abandoned
pursuant to the definition in this chapter when the summons and complaint
in an action to foreclose is filed, or becomes vacant and abandoned
pursuant to this chapter at any time thereafter while the property
is in foreclosure. On each anniversary date of the initial registration,
the owner or creditor shall submit a renewal registration and fee.
[Amended 7-17-2017 by Ord. No. 23-2017; 10-17-2022 by Ord. No. 37-2022]
E.
All registration fees must be paid directly from the creditor, servicer,
trustee, or owner. Third-party registration fees are not allowed without
the consent of the municipality and/or its authorized designee.
[Amended 10-17-2022 by Ord. No. 37-2022]
F.
This section shall also apply to properties that have been the subject
of a foreclosure sale where the title was transferred to the beneficiary
of a mortgage involved in the foreclosure and any properties transferred
under a deed in lieu of foreclosure/sale.
G.
Properties subject to this section shall remain under the annual
registration requirement, and the inspection, security and maintenance
standards of this section as long as they remain vacant or in default.
H.
Any person or legal entity that has registered a property under this
section must report any change of information contained in the registration
within 10 days of the change.
I.
Failure of the creditor and/or owner to properly register or to modify
the registration form from time to time to reflect a change of circumstances
as required by this article is a violation of the chapter and shall
be subject to enforcement.
[Amended 10-17-2022 by Ord. No. 37-2022]
J.
Pursuant to any administrative or judicial finding and determination
that any property is in violation of this article, the Township of
Harrison may take the necessary action to ensure compliance with and
place a lien on the property for the cost of the work performed to
benefit the property and bring it into compliance.
A.
Properties subject to this article shall be kept free of weeds, overgrown
brush, dead vegetation, trash, junk, debris, building materials, any
accumulation of newspapers, circulars, flyers, notices, except those
required by federal, state or local law, discarded personal items
including, but not limited to, furniture, clothing, large and small
appliances, printed material or any other items that give the appearance
that the property is abandoned.
B.
The property shall be maintained free of graffiti or similar markings
by removal or painting over with an exterior grade paint that matches
the color of the exterior structure.
C.
Front, side, and rear yards, including landscaping, shall be maintained
in accordance with the applicable code(s) at the time registration
was required.
D.
Yard maintenance shall include, but not be limited to, grass, ground
covers, bushes, shrubs, hedges or similar plantings, decorative rock
or bark or artificial turf/sod designed specifically for residential
installation. Acceptable maintenance of yards and/or landscape shall
not include weeds, gravel, broken concrete, asphalt or similar material.
E.
Maintenance shall include, but not be limited to, watering, irrigation,
cutting and mowing of required ground cover or landscape and removal
of all trimmings.
F.
Pools and spas shall be maintained so the water remains free and
clear of pollutants and debris and shall comply with the regulations
set forth in the applicable code(s).
H.
Failure of the creditor and/or owner to properly maintain the property may result in a violation of the applicable Code(s) and issuance of a citation or notice of violation in accordance with this article and Chapter 159 of the Township of Harrison's Code. Pursuant to a finding and determination by the Township's Code Enforcement Officer or a court of competent jurisdiction, the Township of Harrison may take the necessary action to ensure compliance with this section.
[Amended 10-17-2022 by Ord. No. 37-2022]
I.
In addition to the above, the property is required to be maintained
in accordance with the applicable code(s).
A.
Properties subject to these sections shall be maintained in a secure
manner so as not to be accessible to unauthorized persons.
B.
A "secure manner" shall include, but not be limited to, the closure
and locking of windows, doors, gates and other openings of such size
that may allow a child to access the interior of the property or structure.
Broken windows, doors, gates and other openings of such size that
may allow a child to access the interior of the property or structure
must be repaired. Broken windows shall be secured by reglazing of
the window. Except in the event of a temporary emergency condition
(for example, fire or storm conditions), doors, windows and/or garage
doors shall not be boarded and/or covered. If required, all doors,
windows and/or garage doors shall be repaired and/or replaced such
that they can be properly locked in a secure manner.
[Amended 7-17-2017 by Ord. No. 23-2017]
C.
If a mortgage on a property is in default, and the property has become
vacant or abandoned, a property manager shall be designated by the
creditor to perform the work necessary to bring the property into
compliance with the applicable code(s), and the property manager must
perform regular inspections to verify compliance with the requirements
of this article, and any other applicable laws.
[Amended 10-17-2022 by Ord. No. 37-2022]
All abandoned real property is hereby declared to be a public
nuisance, the abatement of which pursuant to the police power is hereby
declared to be necessary for the health, welfare and safety of the
residents of the Township of Harrison.
[Amended 10-17-2022 by Ord. No. 37-2022]
A.
An out-of-state
creditor found by the municipal court of the municipality in which
the property subject to the ordinance is located, or by any other
court of competent jurisdiction, to be in violation of the requirement
to appoint an in-state representative or agent pursuant to the ordinance
shall be subject to a fine of $2,500 for each day of the violation.
Any fines imposed on a creditor for the failure to appoint an in-state
representative or agent shall commence on the day after the ten-day
period set forth in Paragraph (1) of Subsection a. of Section 17 of
P.L. 2008, c. 127 (N.J.S.A. 46:10B-51) or Paragraph (1) of Subsection
a. of Section 2 of P.L. 2021, c. 444 (N.J.S.A. 40:48-2.12s2) for providing
notice to the municipal clerk that a summons and complaint in an action
to foreclose on a mortgage has been served.
B.
A creditor found by the municipal court of the municipality in which the property subject to the ordinance is located, or by any other court of competent jurisdiction, to be in violation, excluding only a violation addressed by Subsection A shall be subject to a fine of $1,500 for each day of the violation. Any fines imposed pursuant to this subsection shall commence 31 days following receipt of the notice of violation, except if the violation presents an imminent risk to public health and safety, in which case any fines shall commence 11 days following receipt of the notice.
C.
Any other
owner or person(s) who shall violate the provisions of this Chapter
shall be cited and fined by one or more of the following: imprisonment
in the county jail or in any place provided by the municipality for
the detention of prisoners, for any term not exceeding 90 days; or
by a fine not less than $500 or exceeding $1,250; or by a period of
community service not exceeding 90 days.
D.
Any person
who is convicted of violating this chapter within one year of the
date of a previous violation of the same section, and who was fined
for the previous violation, shall be sentenced by a Court to an additional
fine as a repeat offender. The additional fine imposed by the Court
upon a person for a repeated offense shall not be less than the minimum
or exceed the maximum fine fixed for a violation of this chapter,
but shall be calculated separately from the fine imposed for the violation
of this Chapter.
Adherence to this article does not relieve any person, legal
entity or agent from any other obligations set forth in any applicable
code(s), which may apply to the property. Upon sale or transfer of
title to the property, the owner shall be responsible for all violations
of the applicable code(s).
[Amended 10-17-2022 by Ord. No. 37-2022]
A.
If the Enforcement Officer has reason to believe that a property
subject to the provisions of this article is posing a serious threat
to the public health safety and welfare, the Code Enforcement Officer
may temporarily secure the property at the expense of the creditor
and/or owner, and may bring the violations before a court of competent
jurisdiction as soon as possible to address the conditions of the
property.
B.
The Code Enforcement Officer shall have the authority to require
the creditor and/or owner of record of any property affected by this
section, to implement additional maintenance and/or security measures,
including, but not limited to, securing any and all doors, windows
or other openings, employment of an on-site security guard or other
measures as may be reasonably required to help prevent further decline
of the property.
C.
If there is a finding that the condition of the property is posing
a serious threat to the public health, safety and welfare, then the
Code Enforcement Officer may direct the municipality to abate the
violations and charge the creditor with the cost of the abatement.
D.
If the creditor does not reimburse the Township of Harrison for the
cost of temporarily securing the property, or of any abatement directed
by the Code Enforcement Board or special magistrate, within 30 days
of the Township sending the creditor the invoice, then the Township
of Harrison may lien the property with such cost, along with an administrative
fee of $800 to recover the administrative personnel services.
Whoever opposes, obstructs or resists any enforcement officer
or any person authorized by the Code Enforcement Office in the discharge
of duties as provided in this article shall be punishable as provided
in the applicable code(s) or a court of competent jurisdiction.
Any enforcement officer or any person authorized by the Township
of Harrison to enforce the sections herein shall be immune from prosecution,
civil or criminal, for reasonable, good faith entry upon real property
while in the discharge of duties imposed by this article.
Should any section, clause, sentence, phrase or provision of
this article be declared unconstitutional or invalid by a court of
competent jurisdiction, such decision shall not affect the remaining
portions of this article.
All prior ordinances or parts of ordinances inconsistent with
this article are hereby repealed to the extent of such inconsistencies.
This article shall take effect immediately upon final passage
and publication in accordance with law.
[Adopted 12-7-2015 by Ord. No. 23-2015]
The purpose of this article is to notify property owners, lien
holders and otherwise interested parties of properties within the
Township of Harrison of the intent of the Township to adopt the Abandoned
Property and Rehabilitation Act (N.J.S.A. 55:19-78, et seq.) its provisions,
procedures, authority and lawful remedies, empowering the Township
and its officials to act under the authority of same. This article
preserves all substantive rights and obligations of the Act.
As used in this article, the following terms shall have the
meanings indicated:
Any person designated or appointed by the Township Committee
to exercise the powers and authority prescribed by this article.
A.
Except as provided in N.J.S.A. 55:19-83, any property that has not
been legally occupied for a period of six months and which meets any
one of the following additional criteria may be deemed to be abandoned
property upon a determination by the Public Officer as defined in
N.J.S.A. 55:19-80, or such other public officer designated or appointed
by the Township Committee pursuant to N.J.S.A. 40:48-2.5, that:
(1)
The property is in need of rehabilitation, in the reasonable judgment
of the Public Officer, or such other public officer designated or
appointed by the Township Committee pursuant to N.J.S.A. 40:48-2.5,
and no rehabilitation has taken place during that same six-month period;
(2)
Construction was initiated on the property and was discontinued prior
to completion, leaving the building unsuitable for occupancy, and
no construction has taken place for at least six months as of the
date of a determination by the Public Officer, or such other public
officer designated or appointed by the Township Committee pursuant
to N.J.S.A. 40:48-2.5;
(3)
At least one installment of property tax remains unpaid and delinquent
on that property as of the date of a determination by the Public Officer,
or such other public officer designated or appointed by the Township
Committee pursuant to N.J.S.A. 40:48-2.5; or
(4)
The property has been determined to be a nuisance by the Public Officer,
or such other public officer designated or appointed by the Township
Committee pursuant to N.J.S.A. 40:48-2.5, in accordance with N.J.S.A.
55:19-82 for one or more of the following reasons:
(a)
The property has been found to be unfit for human habitation,
occupancy or use pursuant to N.J.S.A. 40:48-2.3;
(b)
The condition and vacancy of the property materially increases
the risk of fire to the property and adjacent properties;
(c)
The property is subject to unauthorized entry, leading to potential
health and safety hazards; the owner has failed to take reasonable
and necessary measures to secure the property; or the municipality
has secured the property in order to prevent such hazards after the
owner has failed to do so;
(d)
The presence of vermin or the accumulation of debris or uncut
vegetation or physical deterioration of the structure or grounds has
created potential health and safety hazards, and the owner has failed
to take reasonable and necessary measures to remove the hazards; or
(e)
The dilapidated appearance or other condition of the property
materially affects the welfare, including the economic welfare, of
the residents of the area in close proximity to the property, and
the owner has failed to take reasonable and necessary measures to
remedy the conditions.
B.
A property which contains both residential and nonresidential space
may be considered abandoned pursuant to N.J.S.A. 55:19-78 et seq.
so long as 2/3 or more of the total net square footage of the building
was previously legally occupied as residential space and none of the
residential space has been legally occupied for at least six months
at the time of the determination of abandonment by the Public Officer,
or such other public officer designated or appointed by the Township
Committee pursuant to N.J.S.A. 40:48-2.5.
A.
The Public Officer, or such other public officer designated or appointed
by the Township Committee pursuant to N.J.S.A. 40:48-2.5, shall identify
abandoned property within the Township of Harrison for the purpose
of establishing an abandoned property list as set forth in N.J.S.A.
55:19-55. The abandoned property list shall include, for each abandoned
property identified, the tax block and lot number, the name of the
owner of record, if known, and the street address of the lot. The
Public Officer, or such other public officer designated or appointed
by the Township Committee pursuant to N.J.S.A. 40:48-2.5, may add
properties to the abandoned property list at any time and may delete
properties at any time when he or she finds that the property no longer
meets the definition of an abandoned property.
B.
An abandoned property shall not be included on the abandoned property
list if rehabilitation is being performed in a timely manner, as evidenced
by building permits issued and diligent pursuit of rehabilitation
work authorized by those permits. A property on which an entity other
than the Township of Harrison has purchased or taken assignment from
the Township of a tax sale certificate which has been placed on the
abandoned property list may be removed if the owner of the certificate
pays all municipal taxes and liens due on the property within 30 days
after the property is placed on the list; provided, however, that
if the owner of the certificate fails to initiate foreclosure proceedings
within six months after the property was first placed on the list,
the property shall be restored to the abandoned property list in accordance
with the provisions of N.J.S.A. 55:19-103.
C.
The Public Officer, or such other public officer designated or appointed
by the Township Committee pursuant to N.J.S.A. 40:48-2.5, shall establish
the abandoned property list and any additions or deletions thereto
by authorizing the publication of the list in the official newspaper
of the Township of Harrison, which publication shall constitute public
notice, and, within 10 days after publication, shall send a notice,
by certified mail, return receipt requested, and by regular mail,
to the owner of record of every property included on the list. The
published and mailed notices shall identify property determined to
be abandoned, setting forth the owner of record, if known, the tax
lot and block number, and the street address. The Public Officer,
or such other public officer designated or appointed by the Township
Committee pursuant to N.J.S.A. 40:48-2.5, in consultation with the
Tax Collector, shall also send out a notice, by regular mail, to any
mortgagee, servicing organization, or property tax processing organization
that receives a duplicate copy of the tax bill pursuant to N.J.S.A.
54:4-64d. When the owner of record is not known for a particular property
and cannot be ascertained by the exercise of reasonable diligence
by the Tax Collector, notice shall not be mailed but instead shall
be posted on the property in the manner as provided in N.J.S.A. 40:48-2.7.
The mailed notice shall indicate the factual basis for the finding
of the Public Officer, or such other public officer designated or
appointed by the Township Committee pursuant to N.J.S.A. 40:48-2.5,
that the property is abandoned property, as that term is defined herein
and in N.J.S.A. 55:19-54, and shall specify the information relied
upon in making such finding. In all cases, a copy of the mailed or
posted notice shall also be filed by the Public Officer, or such other
public officer designated or appointed by the Township Committee pursuant
to N.J.S.A. 40:48-2.5, in the office of the Gloucester County Clerk.
This filing shall have the same force and effect as a formal notice
under N.J.S.A. 2A:15-6. The notice shall be captioned with the name
of the Township of Harrison as "plaintiff" and the name of the property
owner as "defendant," as though an action had been commenced by the
Township against the owner.
D.
An owner or lienholder may challenge the inclusion of his property
on the abandoned property list by appealing that determination to
the Township Committee within 30 days of the owner's receipt of the
certified notice or 40 days from the date upon which the notice was
sent. An owner whose identity was not known to the Public Officer,
or such other public officer designated or appointed by the Township
Committee pursuant to N.J.S.A. 40:48-2.5, shall have 40 days from
the date upon which notice was published or posted, whichever is later,
to challenge the inclusion of a property on the abandoned property
list. For good cause shown, the Township Committee shall accept a
late filing of an appeal. Within 30 days of receipt of a request for
an appeal of the findings contained in the notice, the Township Committee
shall schedule a hearing for redetermination of the matter. Any property
included on the list shall be presumed to be abandoned property unless
the owner, through the submission of an affidavit or certification
asserting that the property is not an abandoned property, can demonstrate
that the property was erroneously included on the list. The affidavit
or certification shall be accompanied by supporting documentation,
such as, but not limited to, photographs, repair invoices, bills and
construction contracts. The sole ground for appeal shall be that the
property in question is not abandoned property as that term is defined
herein and in N.J.S.A. 55:19-54. The Township Committee shall decide
any timely filed appeal within 10 days of the hearing on the appeal
and shall promptly, by certified mail, return receipt requested, and
by regular mail, notify the property owner of the decision and the
reasons therefor.
E.
The property owner may challenge an adverse determination of an appeal with the Township Committee pursuant to Subsection D of this § 210-20, by instituting, in accordance with the New Jersey Court Rules, a summary trial proceeding in the Superior Court, Gloucester County. Such action shall be instituted within 20 days of the date of the notice of decision mailed by the Township Committee. The sole ground for appeal and new hearing before the Superior Court shall be that the property in question is not an abandoned property, as that term is defined in N.J.S.A. 55:19-54. The failure to institute an action of appeal on a timely basis shall constitute a jurisdictional bar to challenging the adverse determination, except that, for good cause shown, the court may extend the deadline for instituting the action.
F.
The Township shall promptly remove any property from the abandoned
property list that has been determined by the governing body or on
appeal not to be abandoned and may, in its discretion, remove properties
from said list whenever the governing body deems such removal appropriate
under the circumstances.
G.
The abandoned property list shall become effective, and the Township
of Harrison shall have the right to pursue any legal remedy with respect
to properties on the list, at any time after at least one property
has been placed on the list and following the expiration of the period
for appeal with respect to that first property or upon the denial
of an appeal brought by the property owner of that first property.
A.
Any interested party may submit a written request to the Township
Committee asserting that any property within the Township of Harrison
should be included on the abandoned property list. The written request
must specify the street address and block and lot number of the property
to be included and the grounds for its inclusion. Within 30 days of
receipt of any such request, the Township Committee shall provide
a written response to the party, either indicating that the property
will be added to the list or, if not, the reasons for not adding the
property. For the purposes of this section, the term "interested parties"
shall include any resident of the Township of Harrison, any owner
or operator of a business within the Township of Harrison or any organization
representing the interests of residents, business owners or otherwise
engaged in furthering the revitalization and improvement of the neighborhood
in which the property is located.
B.
Any interested party may participate in a redetermination hearing
regarding the inclusion of a property on the abandoned property list.
Upon written request by any interested party, the Township Committee
shall provide that party with at least 20 days' notice of any such
hearing. The party shall provide the Township Committee with notice
at least 10 days before the hearing of its intention to participate
and the nature of the testimony or other information that it proposes
to submit at the hearing.
A.
An owner may request removal of his/her/its property from the abandoned
properties list prior to sale of the tax sale certificate by paying
all taxes and Township liens due, including interest and penalties,
and:
(1)
By posting cash or a bond equal to the cost of remediating all conditions
because of which the property has been determined to be abandoned
pursuant to N.J.S.A. 55:19-55 and by posting cash or a bond to cover
the cost of any environmental cleanup required on the property, evidenced
by a certification by a licensed engineer retained by the owner and
reviewed and approved by the Township Committee, stating that the
cash or bond adequately covers the cost of the cleanup; or
(2)
By demonstrating to the satisfaction of the Township Committee that
the conditions rendering the property abandoned have been remediated
in full; provided, however, that where the Township Committee finds
that the owner is actively engaged in remediating the conditions because
of which the property was determined to be abandoned, as evidenced
by significant rehabilitation activity on the property, the Township
Committee may grant an extension of time of not more than 20 days
for the owner to complete all work, during which time no further proceedings
will be taken against the owner or the property.
B.
If the owner has posted cash or a bond in order to have a property
removed from the abandoned property list and the conditions because
of which the property was determined to be abandoned have not been
fully remediated within one year of the date of posting the cash or
bond, or, in the case of a property which requires a remediation of
any known, suspected or threatened release of contaminants, if the
owner has failed to enter into a memorandum of agreement with the
New Jersey Department of Environmental Protection or an administrative
consent order, as the case may be, or if an agreement or order is
in effect but the owner has failed to perform the remediation in conformance
with the agreement or order, then the cash or bond shall be forfeited
to the Township, which shall use the cash or bond and any interest
which has accrued thereon for the purpose of demolishing or rehabilitating
the property or performing the environmental remediation. Any funds
remaining after the property has been demolished, rehabilitated or
cleaned up shall be returned to the owner.
A.
Notwithstanding the provisions of N.J.S.A. 54:5-19, or the provisions
of any other law to the contrary, if a property is included on the
abandoned property list and the property taxes or other Township liens
due on the property are delinquent for six or more quarters as of
the date of expiration of the right to appeal the property's inclusion
on the list or, if an appeal has been filed, as of the date that all
opportunities for appeal of inclusion on the list have been exhausted,
then the tax lien on the property may be sold in accordance with the
procedures of the Tax Sale Law, N.J.S.A. 54:5-1 et seq., on or after
the 90th day following the expiration of that time of appeal or final
determination on an appeal.
B.
The Township of Harrison may, at its option, require that the sale
of the tax sale certificate or any subsequent assignment or transfer
of a tax sale certificate held by the Township be subject to the express
condition that the purchaser or assignee shall be obliged to perform
and conclude any rehabilitation or repairs necessary to remove the
property from the abandoned property list pursuant to N.J.S.A. 55:19-55
and to post a bond in favor of the Township to guarantee the rehabilitation
or repair of the property. The Township Committee may waive a requirement
to post a bond imposed by the Township for any purchaser, assignee
or transferee of a tax sale certificate that provides documentation
acceptable to the Township Committee that the purchaser, assignee
or transferee is a qualified rehabilitation entity as defined in N.J.S.A.
55:19-80. The cost of rehabilitation and repairs and the cost of the
bond shall be added to the amount required to be paid by the owner
for redemption of the property. The purchaser, assignee or transferee
of the tax sale certificate who is required to rehabilitate and repair
the property shall be required to file the appropriate affidavits
with the Tax Collector, pursuant to N.J.S.A. 54:5-62, representing
the amounts of moneys expended periodically toward the rehabilitation
or repair of the property. A purchaser, assignee or transferee shall
be entitled to interest on the amounts expended, as set forth in the
affidavits, at the delinquent rate of interest for delinquencies in
excess of $1,500 in effect for the time period when the amounts were
expended, pursuant to N.J.S.A. 54:4-67. The tax sale certificate purchaser,
assignee or transferee, with the authority of the Township of Harrison,
shall be permitted to enter in and upon the property for the purposes
of appraising the costs of rehabilitation and repair and to perform
all other acts required to guarantee the completion of the rehabilitation
or repair of the property. No rehabilitation or repair work shall
be commenced, however, until proof of adequate liability insurance
and an indemnification agreement, holding the Township of Harrison
harmless, has been filed with the Township Clerk.
C.
If the Township of Harrison acquires the tax sale certificate for
a property on the abandoned property list, then, upon 10 days' written
notice to the property owner and any mortgagee as of the date of the
filing of the notice pursuant to N.J.S.A. 55:19-55, the Township shall
be permitted to enter upon the property and remediate any conditions
that caused the property to be included on the abandoned property
list. No remediation shall be commenced, however, if, within that
ten-day period, the owner or mortgagee shall have notified the Township,
in writing, that the owner or mortgagee has elected to perform the
remediation itself. When the owner or mortgagee elects to perform
the remediation itself, it shall be required to post bond in favor
of the Township of Harrison in order to ensure performance. The amount
and conditions of the bond shall be determined by the Township Committee.
D.
The cost of remediation incurred by the Township of Harrison, as
so certified by the entity incurring the cost upon completion of the
remediation, shall constitute a lien upon the property first in time
and right to any other lien, whether the other lien was filed prior
to or after the filing of any lien by the Township, except for Township
taxes, liens and assessments and any lien imposed pursuant to the
Spill Compensation and Control Act, N.J.S.A. 58:10-23.11 et seq.,
together with any interest thereon. The certification of cost shall
be filed and recorded as a lien by the entity incurring the cost with
the Gloucester County Clerk.
E.
The clearance, development, redevelopment, or repair of property
being maintained as an abandoned property pursuant to this article
shall be considered a public purpose and public use, for which the
power of eminent domain may be lawfully exercised.
A.
The Township of Harrison may hold special tax sales with respect
to those properties eligible for tax sale pursuant to N.J.S.A. 54:5-19
which are also on the abandoned property list.
B.
The Township Committee shall establish criteria for eligibility to
bid on properties at the sale, which may include, but need not be
limited to:
(1)
Documentation of the bidder's ability to rehabilitate or otherwise
reuse the property consistent with Township plans and regulations;
commitments by the bidder to rehabilitate or otherwise reuse the property,
consistent with Township plans and regulations;
(2)
Commitments by the bidder to take action to foreclose on the tax
lien by a date certain; and
(3)
Such other criteria as the Township Committee may determine are necessary
to ensure that the properties to be sold will be rehabilitated or
otherwise reused in a manner consistent with the public interest.
C.
The Township Committee may establish minimum bid requirements for
a special tax sale that are less than the full amount of the taxes,
interest and penalties due, to help ensure that the properties will
be rehabilitated or otherwise utilized in a manner consistent with
the public interest.
D.
The Township Committee may combine properties in said special tax
sale into bid packages and require that bidders place a single bid
on each package, rejecting any and all bids on individual properties
that are submitted.
E.
The Township Committee may sell said properties subject to the provision
that, if the purchaser fails to carry out any commitment that has
been set forth as a condition of sale or misrepresents any material
qualification that has been established as a condition of eligibility
to bid pursuant thereto, then the properties and any interest thereto
acquired by the purchaser shall revert to the Township, and any amount
paid by the purchaser at the special tax sale shall be forfeit to
the Township.
F.
In the event that there are two or more qualified bidders for any
property or bid package in a special tax sale, the Township may designate
the unsuccessful qualified bidder whose bid was closest to the successful
bid as an eligible purchaser. In the event that the selected purchaser
of that property or bid package fails to meet any of the conditions
of sale established by the Township pursuant to this section and his/her/its
interest in the property or properties reverts to the Township, the
Township may subsequently designate the entity previously designated
as an eligible purchaser as the winning bidder for the property or
properties and assign the tax sale certificates to that entity on
the basis of that entity's bid at the special tax sale, subject to
the terms and conditions of the special tax sale.
G.
The Township of Harrison shall provide notice of a special tax sale
pursuant to N.J.S.A. 54:5-26. The notice shall include any special
terms of sale established by the Township pursuant to this section.
Nothing shall prohibit the Township from holding a special tax sale
on the same day as a standard or accelerated tax sale.
A.
When a person or entity other than the Township of Harrison acquires
a tax sale certificate for a property on the abandoned property list
at tax sale, the purchaser may institute an action to foreclose the
right of redemption at any time after the expiration of just six months
following the date of the sale of the tax sale certificate.
B.
When the Township of Harrison is the purchaser at tax sale of any
property on the abandoned property list pursuant to N.J.S.A. 54:5-34,
an action to foreclose the right of redemption may be instituted in
accordance with the provisions of Subsection b of N.J.S.A. 54:5-77.
C.
After the foreclosure action is instituted, the right to redeem shall
exist and continue to exist until barred by the judgment of the Superior
Court; provided, however, that no redemption shall be permitted except
where the owner:
(1)
Posts cash or a bond equal to the cost of remediating the conditions
because of which the property was determined to be abandoned pursuant
to N.J.S.A. 55:19-56, as determined by the court; or
(2)
Demonstrates to the court that the conditions because of which the
property was determined to be abandoned have been remedied in full.
A.
If an entity other than the Township of Harrison has purchased or
taken assignment from the Township of a tax sale certificate on a
property that has not been legally occupied for a period of six months,
that property shall not be added to the abandoned property list under
the following limited circumstances:
(1)
The owner of the certificate has continued to pay all Township taxes
and liens on the property in the tax year when due; and
(2)
The owner of the certificate takes action to initiate foreclosure
proceedings within six months after the property is eligible for foreclosure
pursuant to either Subsection a or Subsection b of N.J.S.A. 54:5-86,
as appropriate, and diligently pursues foreclosure proceedings in
a timely fashion thereafter.
B.
A property used on a seasonal basis shall be deemed abandoned only
if it meets any two of the additional criteria set forth in N.J.S.A.
55:19-81.
C.
A determination that a property is abandoned property under the provisions
of this article and N.J.S.A. 55:19-78 et seq. shall not constitute
a finding that the use of the property has been abandoned for purposes
of municipal zoning or land use regulation.
D.
Upon the request of a purchaser or assignee of a tax sale certificate
seeking to bar the right of redemption on an abandoned property pursuant
to Subsection b of N.J.S.A. 54:5-86, the Township Committee or the
Tax Collector shall, in a timely fashion, provide the requester with
a certification that the property fulfills the definition of an "abandoned
property" according to the criteria established in N.J.S.A. 55:19-81
and N.J.S.A. 55:19-82.
A.
A summary action or other action to transfer possession and control
of abandoned property in need of rehabilitation to the Township of
Harrison may be brought by the Township in the Superior Court, Gloucester
County. If the court shall find that the property is abandoned and
that the owner or party in interest has failed to submit and initiate
a rehabilitation plan, then the court may authorize the Township to
take possession and control of the property and to develop its own
rehabilitation plan for the property.
B.
Where the Township has been granted possession and control, the Township
may commence and maintain further proceedings for the conservation,
protection or disposal of the property, or any part thereof, that
are required to rehabilitate the property, recoup the cost and expenses
of rehabilitation, and for the sale of the property; provided, however,
that the court shall not direct the sale of the property if the owner
applies to the court for reinstatement of control and possession of
the property as permitted by N.J.S.A. 55:19-92.
C.
Failure by the owner, mortgage holder or lienholder to submit a plan
for rehabilitation to the Township, obtain appropriate construction
permits or, in the alternative, submit formal applications for funding
the cost of rehabilitation to local, state or federal agencies providing
such funding, within the initial six-month period, shall be deemed
clear evidence that the owner has failed to take any action to further
the rehabilitation of the property.
D.
An owner may defend against a complaint filed pursuant to N.J.S.A.
55:19-84 by submitting a plan for the rehabilitation and reuse of
the property which is the subject of the complaint and by posting
a bond equal to 125% of the amount determined by the Township Committee
or the court to be the projected cost of rehabilitation.
E.
Any plan submitted by an owner to defend against a complaint shall
be submitted within 60 days after the complaint has been filed, unless
the court provides the owner with an extension of time for good cause
shown. A plan submitted by an owner pursuant to this section shall
include, but not be limited to:
(1)
A detailed financial feasibility analysis, including documentation
of the economic feasibility of the proposed reuse, including operating
budgets or resale prices, or both, as appropriate;
(2)
A budget for the rehabilitation of the property, including sources
and uses of funds, based on the terms and conditions of realistically
available financing, including grants and loans;
(3)
A timetable for the completion of rehabilitation and reuse of the
property, including milestones for performance of major steps leading
to and encompassing the rehabilitation and reuse of the property;
and
(4)
Documentation of the qualifications of the individuals and firms
that will be engaged to carry out the planning, design, financial
packaging, construction, and marketing or rental of the property.
F.
Where the court approves the rehabilitation plan of the owner or
other party in interest, then it may appoint the Township Committee
to act as monitor of compliance and progress. If the owner fails to
carry out any step in the approved plan, then the Township may apply
to the court to have the posted bond forfeited, to transfer possession
of the building to the Township to complete the rehabilitation plan,
and to grant authorization to use the bond proceeds for the rehabilitation.
The owner or other party in interest shall provide bimonthly reports
to the Township Committee on its activities and progress toward rehabilitation
and reuse of the property.
G.
If an owner is unsuccessful in defending against a complaint filed
pursuant to N.J.S.A. 55:19-84, the mortgage holder or lienholder may
seek to be designated in possession of the property by submitting
a plan and posting a bond meeting the same conditions as set forth
in N.J.S.A. 55:19-87. His/her/its plan must be submitted within 60
days following the court's rejection of the owner's plan, unless the
court provides the mortgage holder or lienholder with an extension
of time for good cause shown. If the court approves any such mortgage
holder or lienholder's plan, it shall designate that party to be in
possession of the property for purposes of ensuring its rehabilitation.
H.
The mortgage holder or lienholder, as the case may be, shall provide
bimonthly reports to the court and the Township Committee on its activities
and progress toward rehabilitation and reuse of the property. If the
mortgage holder or lienholder fails to carry out any material step
in the approved plan, then the Township Committee shall notify the
court, which may order the posted bond forfeit, grant the Township
possession of the property, and authorize the Township to use the
proceeds of the bond for rehabilitation of the property.
I.
Any sums incurred or advanced for the purpose of rehabilitating the
property by a mortgage holder or lienholder granted possession of
a property, including court costs and reasonable attorneys' fees,
may be added to the unpaid balance due to that mortgage holder or
lienholder, with interest calculated at the same rate set forth in
the note or security agreement or, in the case of a tax lienholder,
at the statutory interest rate for subsequent liens.
J.
If no mortgage holder or lienholder meets the conditions of N.J.S.A.
55:19-88, then the Township may submit a plan to the court which conforms
with the provisions of N.J.S.A. 55:19-87. Such plan shall designate
whether the Township or a qualified rehabilitation entity shall undertake
the rehabilitation plan in accordance with the provisions of N.J.S.A.
55:19-90.
A.
The Township Committee may designate a qualified rehabilitation entity
for the purpose of exercising the Township's rights, where that designation
will further the rehabilitation and reuse of the property consistent
with Township plans and objectives.
B.
Regardless of whether the Township exercises its rights directly
or the Township Committee designates a qualified rehabilitation entity
pursuant to this section, the Township shall maintain, safeguard,
and maintain insurance on the property while in possession of such
property. Notwithstanding the Township's possession of the property,
the owner of the property shall not be relieved of any civil or criminal
liability or any duty imposed by reason of acts or omissions of the
owner.
C.
The court may approve the borrowing of funds by the Township to rehabilitate
the property and may grant a lien or security interests with priority
over all other liens or mortgages other than municipal liens. Prior
to granting this lien priority, the court must find as follows:
(1)
The Township sought to obtain the necessary financing from the senior
lienholder, which declined to provide such financing on reasonable
terms;
(2)
The Township sought to obtain a voluntary subordination from the
senior lienholder, which refused to provide such subordination; and
(3)
Lien priority is necessary in order to induce another lender to provide
financing on reasonable terms. No lien authorized by the court shall
take effect unless recorded with the Clerk of Gloucester County.
D.
Where the Township has designated a qualified rehabilitation entity
to act on its behalf, the qualified rehabilitation entity shall provide
bimonthly reports to the Township Committee on its activities and
progress toward rehabilitation and reuse of the property. The Township
or qualified rehabilitation entity, as the case may be, shall provide
such reports to the court as the court determines to be necessary.
If the court finds that the Township or its designee has failed to
take diligent action toward rehabilitation of the property within
one year from the grant of possession, then the court may request
that the Township designate another qualified rehabilitation entity
to exercise its rights or, if the Township fails to do so, may terminate
the order of possession and return possession and control of the property
to its owner.
E.
The Township of Harrison shall file a notice of completion with the
court, and shall also serve a copy on the owner and any mortgage holder
or lienholder, at such time as the Township has determined that no
more than six months remain to the anticipated date on which rehabilitation
will be complete. This notice shall include an affidavit of the Township
Committee, attesting that the rehabilitation is anticipated to be
completed within six months, and a statement setting forth the actions
as it plans to undertake consistent with the plan.
A.
An owner may petition for reinstatement of the owner's control and
possession of the property at any time after one year from the court's
removal of possession, but no later than 30 days after the Township
of Harrison has filed a notice of completion with the court or, in
the event the notice of completion is filed within less than one year
of the grant of possession, within 30 days after the Township has
filed said notice.
B.
The court may allow additional time for good cause if that additional
time does not materially delay completion of the rehabilitation, place
undue hardship on the Township or affect any of the terms or conditions
under which the Township has applied for or received financing for
the rehabilitation of the property.
C.
If the owner fails to petition for the reinstatement of control and
possession of the property within 30 days after the Township has filed
a notice of completion or, in any event, within two years after the
initial grant of possession, or if the owner fails to meet any conditions
that may be set by the court in granting a reinstatement petition,
the court may grant the Township title or authorize the Township to
sell the property, subject to the provisions of N.J.S.A. 55:19-96.
A.
The Township Committee, with the approval of the court, may place
a lien on the property to cover any costs of the Township in connection
with any proceeding under N.J.S.A. 55:19-78 et seq., incurred prior
to the grant by the court of an order of possession, which may include
costs incurred to stabilize or secure the property to ensure that
it can be rehabilitated in a cost-effective manner. Any such lien
shall be considered a Township lien for the purposes of N.J.S.A. 54:5-9,
with the rights and status of a Township lien pursuant thereto.
B.
Where the Township seeks to gain title to the property, it shall
purchase the property for fair market value on such terms as the court
shall approve and may place the proceeds of sale in escrow with the
court.
C.
The court may authorize the Township of Harrison to sell the building
free and clear of liens, claims and encumbrances, in which event all
such liens, claims and encumbrances shall be transferred to the proceeds
of sale with the same priority as existed prior to resale in accordance
with the provisions of this section, except that municipal liens shall
be paid at settlement. The proceeds of the purchase of the property
shall be distributed as set forth in N.J.S.A. 55:19-97.
D.
Upon approval by the court, the Township shall sell the property
on such terms and at such price as the court shall approve and may
place the proceeds of sale in escrow with the court. The court shall
order a distribution of the proceeds of sale after paying court costs
in the order of priority set forth in N.J.S.A. 55:19-97.
E.
With the exception of the holding of special tax sales pursuant to
N.J.S.A. 55:19-101, the remedies available under N.J.S.A. 55:19-78
et seq. shall be available to the Township with respect to any abandoned
property, whether or not the Township has established an abandoned
property list and whether or not the property at issue has been included
on any such list.