[HISTORY: Adopted by the Township Committee of the Township
of Fairfield 4-17-2019 by Ord.
No. 4-2019. Amendments noted where applicable.]
As used in this chapter, the following terms shall have the
meanings indicated:
Any property that is determined to be abandoned pursuant
to P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.), as follows:
Property must not have been legally occupied for six months
and must meet any of the following criteria:
Property is in need of rehabilitation in the reasonable judgment
of the Public Officer, and no rehabilitation has taken place during
that six-month period.
Construction was initiated and 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 determination
that the building is abandoned.
At least one installment of property tax remains unpaid and
delinquent as of the date of determination.
The property has been determined to be a nuisance by the Public
Officer as defined in this section.
"Vacant and abandoned" residential property means, consistent
with Section 1 of P.L. 2012, c. 70 (N.J.S.A. 2A:50-73), residential
real estate, where a notice of violation has been issued pursuant
to Paragraph e.(1) of that section and Subsection b of Section 1 of
P.L. 2014, c. 35 (N.J.S.A. 40:48-2.12s), or property which any condition
on its own or combined with other conditions present would lead a
reasonable person to believe that the property is or has been vacant
for three or more months. Residential property shall further be deemed
vacant and abandoned where a mortgaged property is not occupied by
a mortgagor or tenant. Such evidence would include, but is not limited
to, evidence of the existence of two or more of the following conditions
at the property:
Overgrown or neglected vegetation;
The accumulation of newspapers, circulars, flyers or mail on
the property;
Disconnected gas, electric, or water utility services to the
property;
The accumulation of hazardous, noxious, or unhealthy substances
or materials on the property;
The accumulation of junk, litter, trash or debris on the property;
The absence of window treatments such as blinds, curtains or
shutters;
The absence of furnishings and personal items;
Statements of neighbors, association management, delivery persons,
or government employees indicating that the residence is vacant and
abandoned;
Windows or entrances to the property that are boarded up or
closed off or multiple window panes that are damaged, broken and unrepaired;
Doors to the property that are smashed through, broken off,
unhinged or continuously unlocked;
A risk to the health, safety or welfare of the public, or any
adjoining or adjacent property owners, exists due to acts of vandalism,
loitering, criminal conduct, or the physical destruction or deterioration
of the property;
An uncorrected violation of a municipal building, housing, or
similar code during the preceding year, or an order by municipal authorities
declaring the property to be unfit for occupancy and to remain vacant
and unoccupied;
The mortgagee or other authorized party has secured or winterized
the property due to the property being deemed vacant and unprotected
or in danger of freezing;
A written statement issued by any mortgagor expressing the clear
intent of all mortgagors to abandon the property;
Any other reasonable indicia of abandonment.
Exceptions to abandoned property:
A property on which an entity other than the Municipality holds
a tax sale certificate is not deemed to be abandoned if the owner
of the certificate continues to pay all municipal taxes and liens
when due, and initiates foreclosure proceedings within six months
after the property is eligible for foreclosure. Tax certificate holders
who have foreclosed on a property are no longer exempt from abandoned
property registration once they have become successful in gaining
ownership of a property, the maintenance rules and obligations will
be enforced against them as they would against any other owner, in
accordance with Fairfield's Code.
If a property is vacant but the owner maintains the exterior
so that there are no code violations, and the owner provides a satisfactory
explanation to the Public Officer as to the reason why the property
is vacant, based on health, finances or other similar reasons, the
property may be temporarily exempt from placement on the vacant and
abandoned property list.
A national- or state-chartered bank, savings bank, savings-and-loan
association or credit union, any person or entity required to be licensed
under the provisions of the New Jersey Residential Mortgage Act, P.L.
2009, c. 53 (N.J.S.A. 17:11C-51 et seq.), any foreclosing entity subject
to the provisions of N.J.S.A. 46:10B-51 (P.L. 2008, c. 127, Section
17, as amended from time to time) and any entity acting on behalf
of the creditor named in the debt obligation including, but not limited
to, servicers. Where a bank is acting as a trustee for a trust where
a lis pendens has been filed, both the bank and trust will be considered
a creditor and they will be jointly liable for compliance with all
maintenance and registration obligations. Notice to the bank acting
as a trustee for a trust foreclosing on a vacant or abandoned property
will satisfy notice obligations to a creditor for all purposes within
this vacant property code.
The New Jersey Department of Community Affairs.
Any person or entity holding a note, mortgage or other interest
secured by the building or any part thereof.
Any property that is determined by the Public Officer to
be a nuisance if any one of the following applies:
The property is found to be unfit for human habitation, occupancy
or use pursuant to N.J.S.A. 40:48-2.3;
The condition and vacancy of the property materially increases
the risk of fire to the property and adjacent properties;
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 Township has
secured the property in order to prevent such hazards after the owner
has failed to do so;
The presence of vermin or the accumulation of debris, uncut
vegetation or physical deterioration of the structure or grounds have
created potential health and safety hazards and the owner has failed
to take reasonable and necessary measures to remove the hazards; or
The dilapidated appearance or other conditions of the property
materially affects, 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.
Includes the title holder, any agent of the title holder
having authority to act with respect to a vacant property, any foreclosing
entity that has filed a notice with the Municipal Clerk pursuant to
the provisions of N.J.S.A. 46:10B-51 (P.L. 2008, c. 127, Section 17,
as amended by P.L. 2009, c. 296) and P.L. 2014, c. 35,[1] any debtor in possession of the property, or any other
entity determined by the Township of Fairfield to have authority to
act with respect to the property. Throughout this chapter, any obligation
of an owner will extend to a creditor as well, except where a creditor
is explicitly obligated to a different standard. Creditors will not
be considered owners for penalty and fine purposes mandated under
P.L. 2014, c. 35, and incorporated herein.
The Code Enforcement and Housing Officer is authorized to
act as the Public Officer for the Township of Fairfield. A Public
Officer may authorize a person or firm to act on behalf of the Public
Officer (as a designee) and to assist in the enforcement and operations
of the vacant and abandoned property program. The Public Officers
and their designees shall exercise powers prescribed by this chapter
and the Public Officer will file evidence of this granting of power
by providing it to the Business Administrator.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. II)]
An entity organized or authorized to do business under the
New Jersey statutes which shall have as one of its purposes the construction
or rehabilitation of residential or nonresidential buildings, the
provisions of affordable housing, the restoration of abandoned property,
the revitalization and improvement of urban neighborhoods, or similar
purpose, and which shall be well-qualified by virtue of its staff,
professional consultants, financial resources, and prior activities
set forth in P.L. 2003, c. 10 (N.J.S.A. 55:19-78 et seq.), to carry
out the rehabilitation of vacant buildings in urban areas.
The Township of Fairfield.
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s.
A.
Effective May 1, 2019, the owner of any vacant property as defined herein shall, within 10 days after the building becomes vacant property, or within 10 days after assuming ownership of the vacant property, whichever is later, file a registration statement for each such vacant property with the Public Officer on forms made available by the Public Officer for such purposes. The registration shall remain valid for six months from the date of registration. The owner shall be required to renew the registration every six months as long as the building remains vacant property and shall pay a registration or renewal fee in the amount prescribed in § 426-8 of this chapter for each vacant property registered.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. II)]
B.
Any owner of any building that meets the definition of vacant property prior to May 1, 2019, shall file a registration statement for that property on or before June 30, 2019. The registration statement shall include the information required under § 426-2F of this chapter, as well as any additional information that the Public Officer may reasonably require.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. II)]
C.
The owner shall notify the Public Officer within 10 days of any change
in the registration information by filing an amended registration
statement on a form available at the Code Enforcement Office.
D.
The registration statement shall be deemed prima facie proof of the
statements therein contained in any administration enforcement proceeding
or court proceeding instituted by the Township against the owner or
owners of the building.
E.
Each property having a separate block and lot number as designated
in official records of the Township shall be registered separately.
F.
The registration statement shall include the name, street address,
telephone number, and email address (if applicable) of a person 21
years of age or older, designated by the owner or owners as the authorized
agent for receiving notices of code violations and for receiving process
in any court proceeding or administrative enforcement proceeding on
behalf of such owner or owners in connection with the enforcement
of any applicable code; and the name, street address, telephone number,
and email address (if applicable) of the firm and the actual name(s)
of the firm's individual principal(s) responsible for maintaining
the property. The individual or a representative of the firm responsible
for maintaining the property shall be available by telephone or in
person on a twenty-four-hour-per-day, seven-day-per-week basis. The
two entities may be the same or different persons. Both entities shown
on the statement must maintain offices in the State of New Jersey
or reside within the State of New Jersey. The statement shall also
include the name of the person responsible for maintaining and securing
the property, if different.
G.
Upon a change of ownership, a new registration statement must be
filed within 10 days of closing or transfer.
H.
The owner shall notify the Code Enforcement Office within 10 calendar
days of any change in the registration information by filing an amended
registration statement on a form provided by the Township for such
purpose.
I.
The registration statement shall be deemed prima facie proof of the
statements therein contained in any administrative enforcement proceeding
or court proceeding instituted by the Township against the owner or
owners of the building.
K.
The owner or their agent shall visit each vacant or abandoned property
at least every 30 days to confirm the property is in compliance with
this code, and the owner or their agent must maintain a log of these
visits and the result of their review and provide the log with the
following registration renewal.
A.
Lis pendens.
(1)
A creditor serving a notice of intention to foreclose on a mortgage
on residential property in this Township shall serve the public officer
with a copy of the notice at the same time it is served on the owner
of the property in hard copy form, and must also submit a copy to
the Public Officer or his/her designee, within 10 days, via email.
(2)
A creditor must submit a vacant property registration within 10 calendar
days of the filing of its notice of intention to foreclose. Failure
to submit notice of the intention to foreclose to the Township shall
not constitute grounds for failing to register the property.
(3)
If a creditor sells, assigns, or transfers ownership of a mortgage
on a vacant or abandoned property to a new entity, the creditor will
retain the obligation to maintain and keep that property registered
until the creditor has successfully discharged its lis pendens and
provided documentation of the discharge and transfer to the Public
Officer.
B.
Notice of default.
(1)
Initial inspection prior to filing notice of default. Any beneficiary/trustee/mortgagee
who holds a deed of trust/mortgage on a property located within the
Township of Fairfield shall perform an inspection of the property
that is the security for the deed of trust/mortgage, upon default
by the trustor/mortgagor, prior to recording a notice of default.
If the property is found to be vacant or shows evidence of vacancy,
it is, by this chapter, deemed abandoned, and the beneficiary/trustee/mortgagee
shall, within 10 days of the inspection, register the property with
the Public Officer on forms provided by the Township.
(2)
Monthly inspection prior to filing notice of default. If a property
is occupied but remains in default, it shall be inspected by the beneficiary/trustee/mortgagee,
or his designee, monthly until the trustor/mortgagor or other party
remedies the default; or it is found to be vacant or show evidence
of vacancy, at which time it is deemed abandoned, and the trustee
shall, within 10 days of that inspection, register the property with
the Public Officer, or his designee, on forms provided by the Township.
The beneficiary/trustee/mortgagee shall provide a log of the monthly
inspections performed from the date of default up until the discovery
of evidence of vacancy when submitting their vacant property registration.
After filing a registration statement or a renewal of a registration
statement, the owner of any vacant property or their agent shall provide
access to the Township to conduct an exterior and interior inspection
of the building to determine compliance with this Code, following
reasonable notice, during the period covered by the initial registration
or any subsequent renewal. Such inspections may be carried out by
municipal employees on weekdays during the hours of 9:00 a.m. and
4:00 p.m. or by designees of the Public Officer at such a time as
may be mutually agreed upon between the owner and the Township.
A.
An owner who meets the requirements of this chapter with respect
to the location of his or her residence or workplace in the State
of New Jersey may designate himself or herself as agent or as the
individual responsible for maintaining the property.
B.
By designating an authorized agent under the provisions of this section,
the owner consents to receive any and all notices of code violations
concerning the registered vacant property and all process in any court
proceeding or administrative enforcement proceeding brought to enforce
code provisions concerning the registered building by service of the
notice of process on the authorized agent. Service on the owner or
the agent in compliance with this subsection shall be sufficient to
satisfy the notice requirement discussed herein. The selection of
a designated authorized agent does not prevent the Township from sending
notice of code violations and court proceedings to any corporate office,
headquarters, or listed address of the owner on file with the Township
or state or found through reasonable diligence of the Public Officer
or his designee. Any owner who has designated an authorized agent
under the provisions of this section shall be deemed to consent to
the continuation of the agent's designation for the purposes of this
section until the owner notifies the Township of Fairfield, in writing,
of a change of authorized agent or until the owner files a new registration
statement. The designation of an authorized agent in no way releases
the owner from any requirement of this chapter.
C.
Any owner who fails to register a vacant property under the provisions
of this chapter shall further be deemed to consent to receive, by
posting on the building, in plain view, and by service notice at the
last-known address of the owner of the property on record with the
Township of Fairfield by regular mail, any and all notices of code
violations and all process in an administrative proceeding brought
to enforce code provisions concerning the building.
The owner of any structure that has become vacant property and
any person responsible for maintaining, operating, or collecting rent
for any such building that has become vacant shall, within 30 calendar
days of the structure becoming vacant or within 30 calendar days of
the owner taking title to the property, do the following:
A.
Board and/or secure the structure and all unattached accessory structures,
garages or similar structures against unauthorized entry as provided
for in the applicable codes of the Township of Fairfield or as set
forth in rules and regulations promulgated by the Public Officer,
Housing or Construction Code Official, or by ordinance and/or municipal
code.
B.
Ensure that the exterior grounds of the structure, including yards,
fences, sidewalks, walkways, rights-of-way, alleys, retaining walls,
attached or unattached accessory structures and driveways, are well-maintained
and free from trash, debris, loose litter, and grass and weed overgrowth.
C.
Post a sign, affixed and protected from the elements, to the structure indicating the name, address and telephone number of the owner and the owner's authorized agent for the purpose of service of process, and the name, address and telephone number of the entity responsible for maintenance of the property, which may be the same as the owner or authorized agent. The sign shall include the words "No Trespassing" and "to report problems with this building, call...," shall be of sufficient size and shall be placed in a location where it is clearly visible from the nearest public street or sidewalk, whichever is nearer. The sign shall meet the requirements pursuant to § 450-15, Signs, and shall be no smaller than 18 inches by 24 inches and owner and/or agent must ensure that the sign is visible from the nearest public street or sidewalk, and legible and intact until the building is again occupied, demolished, or until repair and/or rehabilitation of the building is complete.
D.
Maintain the vacant property for the entire period of vacancy in
accordance with all applicable local and state property maintenance
codes or ordinances, building codes, health codes and fire codes pertaining
to the exterior condition and appearance of the building, the safety
and structural integrity of the building, the outdoor portion of the
property, the condition and safety of accessory structures on the
property, and any conditions on the property which may constitute
a hazard or adversely affect the health and safety of persons who
may have contact with the vacant property. Promptly repair all broken
windows, doors and other openings and unsafe conditions. Boarding
up of open and broken windows is prohibited, except as a temporary
measure for no longer than 45 consecutive days, which period may be
extended at the discretion of the Fire Official, Public Officer or
his/her designee, or Construction Code Official. Boards or coverings
must be installed and painted in accordance with Township specifications.
E.
The owner of any vacant property shall acquire and otherwise maintain
liability insurance, in an amount of not less than $300,000 for buildings
designed primarily for residential use, and not less than $1,000,000
for any other building, including, but not limited to, buildings designed
for manufacturing, industrial, storage or commercial uses, covering
any damage to any person or any property caused by any physical condition
of or in the building or property subject to the provisions of this
chapter. Said insurance shall provide a rider for payment of all demolition
costs should the vacant building become abandoned and require the
Township of Fairfield to demolish the building. Any insurance policy
acquired or renewed after the building has become vacant shall provide
for written notice to the Township of Fairfield Public Officer within
30 calendar days of any lapse, cancellation or change in coverage.
The owner shall attach evidence of the insurance to the owner's registration
statement. Any registration statement submitted that does not include
such evidence shall be deemed to be an invalid registration. Insurance
must name the Township of Fairfield as party or payee for demolition
costs should the Township deem demolition is required.
The Public Officer or his/her designee may issue rules and regulations
for the administration of the provisions of this chapter. Such administratively
promulgated rules and regulations shall be in writing and shall be
provided to the owners of properties registered under this chapter
or their designated agents within 30 calendar days of their effective
date. Any rules and regulations under this chapter that conflict with
any other provisions of local law supersede the other provisions for
all matters relating to vacant and abandoned property maintenance
and registration. Changes to rules and regulations, including ordinance
changes and registration changes, will not reset the registration
period and corresponding fee owed on a vacant or abandoned property
back to the initial registration period; they will continue to correlate
sequentially based on the total period registration has been paid
or owing.
A.
All fees applicable to this chapter may be revised by the Township
Committee via ordinance. Registration and inspection fees shall be
paid at the time of submitting the registration or renewal form or
affidavit. There shall also be a fee for the filing of additional
or new owner's affidavit, with such fee being set by resolution of
the Township Committee. For properties that are not registered within
the required time frame, an additional fee for the added cost of the
Township's expenses in having to determine ownership, which may include,
but not limited to, title searches, shall be assessed and immediately
payable.
B.
A vacant and abandoned property registration form or renewal form
must be submitted every six months along with the initial registration
fee or renewal fee described in the fee schedule below.
C.
All owners/creditors or their agents will pay pursuant to the following
fee schedule:
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. II)]
(1)
First registration: $500 for residential properties, $1,000 for commercial
and all other properties.
(2)
First renewal: $1,500 for residential properties, $3,000 for commercial
and all other properties.
(3)
Second renewal: $3,000 for residential properties, $6,000 for commercial
and all other properties
(4)
Third and all subsequent renewals: $5,000 or 5% of the assessed property
value, whichever is greater for residential properties, $10,000 for
commercial and all other properties.
A.
Any noncreditor owner who violates any provision of this chapter
or of the rules and regulations issued hereunder may be fined not
less than $500 and no more than $2,000 for each offense based on the
recommendation of the Public Officer, and/or 30 days of community
service and/or 30 days in the county jail in the discretion of the
Municipal Court Judge. The Municipal Court Judge may enforce and/or
modify the fines recommended by the Public Officer, but all fines
recommended by the Public Officer and issued under this chapter are
to be retained by the Vacant and Abandoned Property Department and
used for Code enforcement and vacant and abandoned property related
purposes or as the Business Administrator determines to be appropriate.
Fines assessed under this chapter shall be recoverable from the owner/responsible
party if they have been identified. When the owner or responsible
party cannot be found, the costs of the maintenance, incurred by the
Township, will be entered as a property maintenance lien. Every day
that a violation continues shall constitute a separate and distinct
offense. Failure to file a timely registration statement, failure
to provide correct information on the registration statement, failure
to comply with all provisions of this chapter, or such other matters
as may be established by the rules and regulations of the Public Officer
or his/her designee shall be deemed to be violations of this chapter
and do not require notice to be sent to an owner prior to summons
and complaints being written and submitted.
B.
In accordance with P.L. 2014, c. 35,[1] if an out-of-state creditor that is subject to a rule
promulgated in this chapter is found by the Township's Municipal Court
or by any court of competent jurisdiction to be in violation of the
requirement to appoint an in-state representative or agent and provide
a complete and accurate registration statement, such creditor shall
be subject to a fine of $2,500 for each day of the violation. However,
any fines imposed on a creditor for the failure to appoint an in-state
representative or agent or complete and accurate registration statement
shall commence on the day after the ten-day period set forth in Subsection
a(1) of Section 17 of P.L. 2008, c. 127 (N.J.S.A. 46:10B-51) (text
below), for providing notice to the Municipal Clerk that a summons
and complaint in an action to foreclose on a mortgage has been served.
|
Subsection a(1) of Section 17 of P.L. 2008, c. 127 (N.J.S.A.
46:10B-51)
|
|
A creditor serving a summons and complaint in an action to foreclose
on a mortgage on residential property in this State shall, within
10 days of serving the summons and complaint, notify the municipal
clerk of the Municipality in which the property is located that a
summons and complaint in an action to foreclose a mortgage has been
filed against the subject property. The notice shall contain the name
and contact information for the representative of the creditor who
is responsible for receiving complaints of property maintenance and
code violations, may contain information about more than one property,
and shall be provided by mail or electronic communication, at the
discretion of the municipal clerk. If the Municipality has appointed
a public officer pursuant to P.L. 1942, c. 112 (N.J.S.A. 40:48-2.3
et seq.), the municipal clerk shall forward a copy of the notice to
the public officer or shall otherwise provide it to any other local
official responsible for administration of any property maintenance
or public nuisance code.
|
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s.
C.
In accordance with P.L. 2014, c. 35, if a creditor that is found
by the Township's Municipal Court or by any court of competent jurisdiction
to be in violation of the requirement to correct a care, maintenance,
security, or upkeep violation cited in a notice issued pursuant to
this chapter, such creditor shall be subject to a fine of $1,500 for
each day of the violation. Every day that a violation continues shall
constitute a separate and distinct offense. Any fines imposed pursuant
to this subsection shall commence 31 days following receipt of the
notice, except if the violation presents an imminent risk to public
health and safety, as determined by the Public Officer, Code Enforcement
Official, Construction Code Official, Fire Chief, or other appropriate
Township official, as applicable based on the code violation at issue,
in which case any fines shall commence 11 days following receipt of
the notice.
D.
In accordance with P.L. 2014, c. 35, N.J.S.A. 40:48-2.12s, Subsection
d, no less than 20% of any money collected from creditors/owners/responsible
parties under this chapter shall be utilized by the Township for Municipal
Code enforcement purposes.
E.
Failures by an owner of a vacant or abandoned property to correct
a care, maintenance, security, or upkeep violation cited in a notice
issued pursuant to this chapter, if found by any court of competent
jurisdiction, shall result in the violator being subject to a fine
pursuant to the guidelines set forth herein. Any fines imposed pursuant
to this subsection shall commence on the first date after the abatement
date listed in the notice has passed if the violation has not been
fully abated. At the discretion of the Public Officer, nonimminent
risk notices may offer up to 30 days from receipt to abate violations
before ticketing may begin. If a violation presents an imminent risk
to public health and safety, as determined by the Public Officer,
Code Enforcement Official, Construction Code Official, Fire Chief
or other appropriate Township official, in accordance with Township
Code, 10 days from receipt of notice will be given to abate and any
fines shall commence 11 days following receipt of notice. Receipt
of notice will be presumed as of the day after mailing for in-state
owners and creditors and on the fourth day after mailing for out-of-state
owners and creditors.
F.
For purposes of this section, failure by an owner to file a complete
and accurate registration statement with the correct payment within
10 calendar days after a building becomes vacant property or within
10 calendar days after assuming ownership of a vacant property, whichever
is later; or within 10 calendar days of receipt of notice by the Township,
and failure to comply with all applicable provisions of section of
this chapter, shall be deemed to be violations of this chapter.
G.
If not paid within six months of the registration date required,
the applicable registration fee on any vacant or abandoned property
shall double. Late payments do not delay the registration effective
date or the next registration renewal period date, but are retroactive
to the beginning of the earliest period for which a registration payment
is being made.
The Public Officer is hereby directed to identify abandoned
properties within the Township, place said properties on an abandoned property
list, established as provided in Section 36 of P.L. 1996, c. 62 (N.J.S.A.
55:19-55), as amended, and provide such notices and carry out such
other tasks as are required to effectuate an abandoned property list
as provided by law.
The Public Officer shall provide a report to the Mayor, Township
Administrator and governing body every six months with respect to
the number and location of properties on the abandoned property list,
the status of those properties, and any actions taken by the Township
or by any qualified rehabilitation entity, designated pursuant to
the authority granted the Public Officer, with respect to any property
on the list or any other abandoned property within the Township of
Fairfield.
The Public Officer shall establish the abandoned property list
or any additions thereto by publication in the official newspaper
of the Township of Fairfield, 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 street address. The Public Officer, 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 Subsection d of N.J.S.A. 54:4-64. 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 Section 5 of P.L. 1942, c. 112 (N.J.S.A. 40:48-2.7). The
mailed notice shall indicate the factual basis for the Public Officer's
finding that the property is abandoned property as that term is defined
in Section 35 of P.L. 1996, c. 62 (N.J.S.A. 55:19-54), and the rules
and regulations promulgated thereunder, specifying 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 in the
office of the Cumberland County Clerk or Register of Deeds and Mortgages.
This filing shall have the same force and effect as a notice of lis
pendens under N.J.S.A. 2A:15-6. The notice shall be indexed by the
name of the property owner as defendant and the name of the Township
as plaintiff, as though an action had been commenced by the Township
against the owner.
A.
An owner or lienholder may challenge the inclusion of his or her
property on the abandoned property list by appealing that determination
to the Public Officer 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
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 Public Officer
shall accept a late filing of an appeal. Within 30 days of receipt
of a request for an appeal of the findings, the Public Officer 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
by the property owner averring that the property is not abandoned
and stating the reasons for such averment, 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 ground for appeal shall be that the property in question is not
abandoned property as that term is defined in Section 35 of P.L. 1996,
c. 62 (N.J.S.A. 55:19-54), or exempted pursuant to this chapter. The
Public Officer 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.
B.
The property owner may challenge an adverse determination of an appeal with the Public Officer by instituting, in accordance with the New Jersey Court Rules, a summary proceeding in the Superior Court, Law Division, sitting in Cumberland County, which action shall be tried de novo. Such action shall be instituted within 20 days of the date of the notice of decision mailed by the Public Officer pursuant to Subsection A of this section. The sole ground for appeal shall be that the property in question is not abandoned property as that term is defined in Section 35 of P.L. 1996, c. 62 (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.
C.
The Public Officer shall promptly remove any property from the abandoned
property list that has been determined not to be abandoned on appeal.
D.
The abandoned property list shall become effective, and the Township
of Fairfield shall have the right to pursue any legal remedy with
respect to properties on the abandoned property list, at such time
as any one property has been placed on the list in accordance with
the provisions of this section, upon the expiration of the period
for appeal with respect to the property or upon the denial of an appeal
brought by the property owner.
A.
The Township of Fairfield shall hold special tax lien sales in compliance
with New Jersey Tax Sale Law as described in N.J.S.A. 54:5-1 et seq.
and in compliance with the provisions of the Abandoned Properties
Rehabilitation Act as described within N.J.S.A. 55:19-101 and in compliance
with N.J.S.A. 54:5-86(b).
B.
Remediation.
(1)
If the Township of Fairfield or the New Jersey Redevelopment Authority
or its subsidiaries 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 lis pendens notice under Subsection d of Section 36 of P.L.
1996, c. 62 (N.J.S.A. 55:19-55), that entity 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 of Fairfield or the
New Jersey Redevelopment Authority or its subsidiary, as appropriate,
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 Fairfield or the New Jersey Redevelopment Authority
or its subsidiaries, as appropriate, in order to ensure performance.
The amount and conditions of the bond shall be determined by the Public
Officer.
(2)
The cost of remediation incurred by the Township of Fairfield or
the New Jersey Redevelopment Authority or its subsidiaries pursuant
to this subsection, 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
or the New Jersey Redevelopment Authority, except for municipal taxes,
liens and assessments and any lien imposed pursuant to the Spill Compensation
and Control Act, P.L. 1976, c. 141 (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 County Clerk or Register of Deeds and Mortgages, as appropriate,
in the county in which the property is located.
C.
Property maintained as abandoned property.
(1)
Failure of an owner or lienholder to remove a property from the abandoned
property list within the period of time for appeal of inclusion of
the property on the list pursuant to Subsection e of Section 36 of
P.L. 1996, c. 62 (N.J.S.A. 55:19-55), shall be prima facie evidence
of the intent of the owner to continue to maintain the property as
abandoned property.
A.
An owner may remove a property from the list of abandoned properties
prior to sale of the tax sale certificate by paying all taxes and
municipal liens due, including interest and penalties, and:
(1)
By posting a certified check, money order, or a bond equal to the
cost of remediating all conditions because of which the property has
been determined to be abandoned pursuant to Section 36 of P.L. 1996,
c. 62 (N.J.S.A. 55:19-55), and posting a certified check, money order,
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 Public Officer
stating that the certified check, money order, or bond adequately
covers the cost of the cleanup; or
(2)
By demonstrating to the satisfaction of the Public Officer that the
conditions rendering the property abandoned have been remediated in
full; provided, however, that where the Public Officer finds that
the owner is actively engaged in remediating the conditions because
of which the property was determined to be abandoned pursuant to Section
36 of P.L. 1996, c. 62 (N.J.S.A. 55:19-55), as evidenced by significant
rehabilitation activity on the property, the Public Officer may grant
an extension of time of not more than 120 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 a certified check, money order, 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 a certified check, money order 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 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 certified check, money order, 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.
When a person other than the Township of Fairfield or the New Jersey
Redevelopment Authority or its subsidiaries 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 at or after the sale as permitted by law and in compliance with
N.J.S.A. 54:5-86.
B.
Notwithstanding Section 6 of P.L. 1948, c. 96 (N.J.S.A. 54:5-104.34),
when the Township of Fairfield is the purchaser at tax sale of any
property on the abandoned property list pursuant to N.J.S.A. 54:5-34,
or when the New Jersey Redevelopment Authority or any of its subsidiaries
acquires the tax sale certificate pursuant to Subsection a of Section
37 of P.L. 1996, c. 62 (N.J.S.A. 55:19-56), 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 a certified check, money order, or a bond equal to the cost
of remediating the conditions because of which the property was determined
to be abandoned pursuant to Section 36 of P.L. 1996, c. 62 (N.J.S.A.
55:19-55), as determined by the court; or
(2)
Demonstrates to the court that the conditions because of which the
property was determined to be abandoned pursuant to Section 36 of
P.L. 1996, c. 62 (N.J.S.A. 55:19-55), have been remedied in full.
Once a final judgment barring the right of redemption with respect
to a property on the list of abandoned properties has been recorded,
the grounds of lack of jurisdiction or fraud in the conduct of the
action or any other legal basis for reopening judgment may be utilized;
in any such proceeding, the provisions of P.L. 1996, c. 62 (N.J.S.A.
55:19-20 et seq.), shall be construed liberally in favor of the purchaser,
assignee or transferee of the tax sale certificate.
A.
If an entity other than the Township of Fairfield 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 placed on the abandoned property list pursuant
to Section 36 of P.L. 1996, c. 62 (N.J.S.A. 55:19-55), if:
(1)
The owner of the certificate has continued to pay all Township of
Fairfield 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 which is used on a seasonal basis shall be deemed to be
abandoned only if the property meets any two of the additional criteria
set forth in Section 4 of P.L. 2003, c. 210 (N.J.S.A. 55:19-81).
C.
A determination that a property is abandoned property under the provision
of P.L. 2003, c. 210 (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 Public Officer or the Tax
Collector shall, in a timely fashion, provide the requester with a
certification that the property fulfills the definition of abandoned
according to the criteria set forth in Sections 4 and 5 of P.L. 2003,
c. 210 (N.J.S.A. 55:19-81 and N.J.S.A. 55:19-82).
A.
A summary action or otherwise to transfer possession and control
of abandoned property in need of rehabilitation to the Township of
Fairfield may be brought by the Township of Fairfield in the Superior
Court in Cumberland County. If the court shall find that the property
is abandoned pursuant to Section 4 of P.L. 2003, c. 210 (N.J.S.A.
55:19-81), and the owner or party in interest has failed to submit
and initiate a rehabilitation plan, then the court may authorize the
Township of Fairfield to take possession and control of the property
and develop a rehabilitation plan.
B.
The Township of Fairfield, granted possession and control, may commence
and maintain those further proceedings for the conservation, protection
or disposal of the property or any part thereof that are required
to rehabilitate the property, necessary to 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 of the property
as provided in Section 15 of P.L. 2001 c. 210 (N.J.S.A. 55:19-92).
C.
Failure by the owner, mortgage holder or lienholder to submit plans
for rehabilitation to the Township of Fairfield, obtain appropriate
construction permits for rehabilitation or, in the alternative, submit
formal applications for funding the cost of rehabilitation to local,
state or federal agencies providing such funding within that six-month
period shall be deemed prima facie evidence that the owner has failed
to take any action to further the rehabilitation of the property.
A complaint filed pursuant to Section 7 of P.L. 2003, c. 210
(N.J.S.A. 55:19-84), shall include:
A.
Documentation that the property is on the municipal abandoned property
list or a certification by the Public Officer that the property is
abandoned; and
B.
A statement by an individual holding appropriate professional qualifications
that there are sound reasons that the building should be rehabilitated
rather than demolished based upon the physical, aesthetic or historical
character of the building or the relationship of the building to other
buildings and lands within its immediate vicinity.
A.
Within 10 days of filing a complaint pursuant to P.L. 2003, c. 210
(N.J.S.A. 55:19-78 et seq.), the plaintiff shall file a notice of
lis pendens with the County of Cumberland Recording Officer.
B.
At least 30 days before filing the complaint, the Township of Fairfield
shall serve a notice of intention to take possession of an abandoned
building. The notice shall inform the owner and interested parties
that the property has not been legally occupied for six months and
of those criteria that led to a determination of abandonment pursuant
to Section 4 of P.L. 2003, c. 210 (N.J.S.A. 55:19-81). The notice
shall provide that unless the owner or a party in interest prepares
and submits a rehabilitation plan to the appropriate Township of Fairfield
official, the Township will seek to gain possession of the building
to rehabilitate the property, and the associated costs shall be a
lien against the property, which may be satisfied by the sale of the
property, unless the owner applies to the court for reinstatement
of control of the property as provided in Section 15 of P.L. 2003,
c. 210 (N.J.S.A. 55:19-92). After the complaint is filed, the complaint
shall be served on the parties in interest in accordance with the
New Jersey Rules of Court.
C.
After serving the notice of intent pursuant to Subsection B of this section, the Township of Fairfield or its designee may enter upon that property after written notice to the owner by certified mail, return receipt requested, in order to secure, stabilize or repair the property, or in order to inspect the property for purposes of preparing the plan to be submitted to the court pursuant to Section 12 of P.L. 2003, c. 210 (N.J.S.A. 55:19-89).
A.
Any owner may defend against a complaint filed pursuant to Section
7 of P.L. 2003, c. 210 (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 Public Officer or the court to be the projected
cost of rehabilitation. 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.
B.
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.
C.
The court shall approve any plan that, in the judgment of the court,
is realistic and likely to result in the expeditious rehabilitation
and reuse of the property which is the subject of the complaint. If
the court approves the owner's plan, then it may appoint the Public
Officer to act as monitor of the owner's compliance. If the owner
fails to carry out any step in the approved plan, then the Township
may apply to the court to have the owner's bond forfeited, possession
of the building transferred to the Township to complete the rehabilitation
plan and authorization to use the bond proceeds for rehabilitation
of the property. The owner shall provide quarterly reports to the
Township on its activities and progress toward rehabilitation and
reuse of the property. The owner shall provide those reports to the
court on its activities that the court determines are necessary.
D.
The court may reject a plan and bond if it finds that the plan does
not represent a realistic and expeditious means of ensuring the rehabilitation
of the property or that the owner or his representatives or agents,
or both, lack the qualifications, background or other criteria necessary
to ensure that the plan will be carried out successfully.
A.
If an owner is unsuccessful in defending against a complaint filed
pursuant to Section 7 of P.L. 2003, c. 210 (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 Section 10 of P.L. 2003, c. 210 (N.J.S.A.
55:19-87). The plan shall be submitted within 60 days after the court
has rejected 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 and reuse and may appoint
the Public Officer to act as monitor of the party's compliance. The
mortgage holder or lienholder, as the case may be, shall provide quarterly
reports to the court and the Township 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 Public Officer shall notify the court, which may order
the 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.
B.
Any sums incurred or advanced for the purpose of rehabilitating the property by a mortgage holder or lienholder granted possession of a property pursuant to Subsection A of this section, including court costs and reasonable attorney's fees, may be added to the unpaid balance due that mortgage holder or lienholder, with the 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.
A.
If no mortgage holder or lienholder meets the conditions of Section
11 of P.L. 2003, c. 210 (N.J.S.A. 55:19-88), then the Township may
submit a plan to the court which conforms with the provisions of Subsection
b of Section 10 of P.L. 2003, c. 210 (N.J.S.A. 55:19-87). The plan
shall designate the entity which shall implement the plan, which may
be the Township or that entity designated in accordance with the provisions
of Section 13 P.L. 2003, c. 210 (N.J.S.A. 55:19-90).
B.
The court shall grant the Township possession of the property if
it finds that:
(1)
The proposed rehabilitation and reuse of the property is appropriate
and beneficial;
(2)
The Township is qualified to undertake the rehabilitation and reuse
of the property; and
(3)
The plan submitted by the Township represents a realistic and timely
plan for the rehabilitation and reuse of the property.
C.
The Township may take all steps necessary and appropriate to further
the rehabilitation and reuse of the property consistent with the plan
submitted to the court. In making its findings pursuant to this subsection,
the court may consult with qualified parties, including the Department
of Community Affairs, and, upon request by a party in interest, may
hold a hearing on the plan.
D.
Where either a redevelopment plan pursuant to P.L. 1992, c. 79 (N.J.S.A.
40A:12A-1 et seq.), or a neighborhood revitalization plan pursuant
to P.L. 2001, c. 415 (N.J.S.A. 52:27D-490 et seq.) has been adopted
or approved by the Department of Community Affairs, as appropriate,
encompassing the property which is the subject of a complaint, the
court shall make a further finding that the proposed rehabilitation
and reuse of the property are not inconsistent with any provision
of either plan.
A.
The Township may exercise its rights under P.L. 2003, c. 210 (N.J.S.A.
55:19-78 et seq.), directly or may designate a qualified rehabilitation
entity to act as its designee for the purpose of exercising the Township's
rights where that designation will further the rehabilitation and
reuse of the property consistent with the Township's plans and objectives.
This designation shall be made by resolution of the Township Committee.
[Amended at time of adoption of Code (see Ch. 1, General
Provisions, Art. II)]
B.
Regardless of whether the Township exercises its rights directly
or designates a qualified rehabilitation entity pursuant to this section,
while in possession of a property pursuant to P.L. 2003, c. 210(N.J.S.A.
55:19-78 et seq.), the Township shall maintain, safeguard, and maintain
insurance on the property. Notwithstanding the Township's possession
of the property, nothing in P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et
seq.), shall be deemed to relieve the owner of the property of any
civil or criminal liability or any duty imposed by reason of acts
or omissions of the owner.
A.
If the Township has been granted possession of a property pursuant
to Section 12 of P.L. 2003, c. 210 (N.J.S.A. 55:19-89), the Township
shall be deemed to have an ownership interest in the property for
the purpose of filing plans with public agencies and boards, seeking
and obtaining construction permits and other approvals, and submitting
applications for financing or other assistance to public or private
entities. For the purposes of any state program of grants or loans,
including but not limited to programs of the Department of Community
Affairs and the New Jersey Housing and Mortgage Finance Agency, possession
of a property under this subsection shall be considered legal control
of the property. Notwithstanding the granting of possession to the
Township, nothing in P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.),
shall be deemed to relieve the owner of the property of any obligation
the owner or any other person may have for the payment of taxes or
other Township liens and charges, or mortgages or liens to any party,
whether those taxes, charges or liens are incurred before or after
the granting of possession. The granting of possession shall not suspend
any obligation the owner may have as of the date of the granting of
possession for payment of any operating or maintenance expense associated
with the property, whether or not billed at the time of the granting
of possession.
B.
The court may approve the borrowing of funds by the Township to rehabilitate
the property and may grant a lien or security interest with priority
over all other liens or mortgages other than municipal liens. Prior
to granting this lien priority, the court shall find that:
(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.
C.
Where the Township has been granted possession by the court in the
name of the Township, the Township may seek the approval of the court
to assign its rights to another entity, which approval shall be granted
by the court when it finds that:
D.
Where the Township has designated a qualified rehabilitation entity
to act on its behalf, the qualified rehabilitation entity shall provide
quarterly reports to the Township 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 have failed to take diligent
action toward rehabilitation of the property within one year from
the grant of possession, then the court may request the Township to
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 the property to its owner.
E.
The Township 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 Public
Officer attesting that rehabilitation can realistically be anticipated
to be complete within that time period, and a statement setting forth
such actions as it plans to undertake to ensure that reuse of the
property takes place 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 grant
of possession, but no later than 30 days after the Township 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 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.
Any petition for reinstatement of the owner's control and possession
of the property filed pursuant to Section 15 of P.L. 2003, c. 210
(N.J.S.A. 55:19-92), shall:
(1)
Include a plan for completion of the rehabilitation and reuse of
the property consistent with the plan previously approved by the court;
(2)
Provide legally binding assurances that the owner will comply with
all conditions of any grant or loan secured by the Township or repay
those grants or loans in full, at the discretion of the maker of the
loan or grant; and
(3)
Be accompanied by payment equal to the sum of:
(a)
All Township liens outstanding on the property;
(b)
All costs incurred by the Township in bringing action with respect
to the property;
(c)
Any costs incurred by the Township not covered by grants or
loans to be assumed or repaid pursuant to this section; and
(d)
Any costs remaining to complete rehabilitation and reuse of
the property, as determined by the Public Officer, which payment shall
be placed in escrow with the Clerk of the Court pending disposition
of the petition.
A.
Prior to the granting of a petition on the part of the owner by the
court pursuant to Section 15 of P.L. 2003, c. 210 (N.J.S.A. 55:19-92),
the owner may be required to post a bond or other security in an amount
determined by the court, after consultation with the Public Officer,
as likely to ensure that the owner will continue to maintain the property
in sound condition. That bond or other security shall be made available
to the Township to make any repair on the property in the event of
a code violation which is not corrected in timely fashion by the owner.
The bond or other security may be forfeited in full in the event that
the owner fails to comply with any requirement imposed as a condition
of the reinstatement petition filed pursuant to Section 15 of P.L.
2003, c. 210 (N.J.S.A. 55:19-92).
B.
The owner may seek approval of the court to be relieved of this requirement
after five years, which shall be granted if the court finds that the
owner has maintained the property in good repair during that period,
that no material violations affecting the health and safety of the
tenants have occurred during that period, and that the owner has remedied
other violations in a timely and expeditious fashion.
If the owner fails to petition for the reinstatement of control
and possession of the property within 30 days after the entity in
possession 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 filed pursuant to Section 15 of P.L. 2003,
c. 210 (N.J.S.A. 55:19-92), upon petition from the entity in possession,
the Court may grant the Township title or authorize the Township to
sell the property, subject to the provisions of Section 19 of P.L.
2003, c. 210 (N.J.S.A. 55:19-96).
A.
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. The court may authorize the Township 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 Section 20 of P.L. 2003, c. 210
(N.J.S.A. 55:19-97).
B.
The Township may seek approval of the court to sell the property
to a third party when the court finds that such conveyance will further
the effective and timely rehabilitation and reuse of the property.
C.
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 Section 20 of P.L. 2003, c.
210 (N.J.S.A. 55:19-97).
The proceeds paid pursuant to Subsection c of Section 19 of
P.L. 2003, c. 210 (N.J.S.A. 55:19-96), shall be distributed in the
following order of priority:
A.
The costs and expenses of sale;
B.
Other governmental liens;
C.
The payment of principal and interest on any borrowing or indebtedness
incurred by the Township and granted priority lien status pursuant
to Subsection a of Section 21 of P.L. 2003, c. 210 (N.J.S.A. 55:19-98);
D.
A reasonable development fee to the Township consistent with the
standards for development fees established for rehabilitation programs
by the New Jersey Department of Community Affairs or the New Jersey
Housing and Mortgage Finance Agency;
E.
Other valid liens and security interests, in accordance with their
priority; and
F.
The owner.
A.
The Public Officer, with the approval of the court, may place a lien
on the property to cover any costs of the Township in connection with
a proceeding under P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.),
incurred prior to the grant by the court of an order of possession
under P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.), 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.
With the exception of the holding of special tax sales pursuant to
Section 24 of P.L. 2003, c. 210 (N.J.S.A. 55:19-101), the remedies
available under P.L. 2003, c. 210 (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 as provided in Section 36 of P.L. 1996, c. 62 (N.J.S.A. 55:19-55),
and whether or not the property has been included on any such list.
Notwithstanding any provision to the contrary in P.L. 2003,
c. 210 (N.J.S.A. 55:19-78 et seq.), a court may, in its discretion,
deny a lienholder or mortgage holder of any or all rights or remedies
afforded lienholders and mortgage holders under P.L. 2003, c. 210
(N.J.S.A. 55:19-78 et seq.), if the court finds that the owner of
a property subject to any of the provisions of P.L. 2003, c. 210 (N.J.S.A.
55:19-78 et seq.), owns or controls more than a 50% interest in, or
effective control of, the lienholder or mortgage holder or that the
familial or business relationship between the lienholder or mortgage
holder and the owner precludes a separate interest on the part of
the lienholder or mortgage holder.
A.
With respect to any lien placed against any real property pursuant
to the provisions of Section 1 or Section 3 of P.L. 1942, c. 112 (N.J.S.A.
40:48-2.3 or N.J.S.A. 40:48-2.5), or Section 1 of P.L. 1989, c. 91
(N.J.S.A. 40:48-2.3a), or any receiver's lien pursuant to P.L. 2003,
c. 295 (N.J.S.A. 2.A:42-114 et seq.), the Township shall have recourse
with respect to the lien against any asset of the owner of the property
if an individual, and against any asset of any partner if a partnership.
B.
The Public Officer, with the approval of the court, may place a lien
on the property to cover any costs of the Township in connection with
a proceeding under P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.),
incurred prior to the grant by the court of an order of possession
under P.L. 2003, c. 210 (N.J.S.A. 55:19-78 et seq.), 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.
C.
With the exception of the holding of special tax sales pursuant to
Section 24 of P.L. 2003, c. 210 (N.J.S.A. 55:19-101), the remedies
available under P.L. 2003, c. 210 (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 as provided in Section 36 of P.L. 1996, c. 62 (N.J.S.A. 55:19-55),
and whether or not the property has been included on any such list.
The Township 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 an abandoned property list established by the Township
pursuant to Section 36 of P.L. 1996, c. 62 (N.J.S.A. 55:19-55). If
the Township elects to hold a special tax sale, it shall conduct that
sale subject to following provisions:
A.
The Township shall establish criteria for eligibility to bid on properties
at the sale, which may include, but shall not be limited to, documentation
of the bidder's ability to rehabilitate or otherwise reuse the property
consistent with the Township's plans and regulations; commitments
by the bidder to take action to foreclose on the tax lien by a date
certain; and such other criteria as the Township 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.
B.
The Township may establish minimum bid requirements for a special
tax sale that may be less than the full amount of the taxes, interest
and penalties due, the amount of such minimum bid to be at the sole
discretion of the Township, in order 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 may combine properties into bid packages, and require
that bidders place a single bid on each package in addition to bids
on individual properties within the bidding package, and the Township
may reject any and all bids on individual properties that have been
included in bid packages.
D.
The Township may sell properties subject to provisions that, if the purchaser fails to carry out any commitment that has been set forth as a condition of sale pursuant to Subsection A of this section 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 to the Township at the special tax sale shall be forfeited to the Township.
E.
In the event there are two or more qualified bidders for any property
or bid package in a special tax sale, the Township may designate the
unsuccessful but qualified bidder whose bid was closest to the successful
bid as an eligible purchaser.
F.
In the event that the 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 the purchaser's 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 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 Subsections B, C, or D of this section. Nothing shall prohibit the Township from holding a special tax sale on the same day as a standard or accelerated tax sale.
With respect to any eminent domain proceeding carried out under
Section 37 of P.L. 1996, c. 62 (N.J.S.A. 55:19-56), the fair market
value of the property shall be established on the basis of an analysis
which determines independently:
A.
The cost to rehabilitate and reuse the property for such purpose
as is appropriate under existing planning and zoning regulations governing
its reuse or to demolish the existing property and construct a new
building on the site, including all costs ancillary to rehabilitation
such as, but not limited to, marketing and legal costs;
B.
The realistic market value of the reused property after rehabilitation
or new construction, taking into account the market conditions particular
to the neighborhood or subarea of the Township in which the property
is located; and
C.
The extent to which the cost exceeds or does not exceed the market
value after rehabilitation, or demolition and new construction, and
the extent to which any "as is" value of the property prior to rehabilitation
can be added to the cost of rehabilitation or demolition and new construction
without the resulting combined cost exceeding the market value as
separately determined. If the appraisal finds that the cost of rehabilitation
or demolition and new construction, as appropriate, exceeds the realistic
market value after rehabilitation or demolition and new construction,
there shall be a rebuttable presumption in all proceedings under this
subsection that the fair market value of the abandoned property is
zero and that no compensation is due the owner.
If a property which an entity other than the Township has purchased
or taken assignment from the Township of a tax sale certificate is
placed on the abandoned property list, the property shall be removed
from the list if the owner of the certificate pays all the Township's
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.
A.
Any interested party may submit, in writing, a request to the Public
Officer that a property be included on the abandoned property list
prepared pursuant to Section 36 of P.L. 1996, c. 62 (N.J.S.A. 55:19-55),
specifying 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 Public Officer shall provide a written
response to the party, either indicating that the property will be
added to the list of abandoned properties or, if not, the reasons
for not adding the property to the list. For the purposes of this
subsection, "interested party" shall include any resident of the Township,
any owner or operator of a business within the Township or any organization
representing the interests of residents or engaged in furthering the
revitalization and improvement of the neighborhood in which the property
is located.
B.
Any interested party may participate in any redetermination hearing
held by the Public Officer pursuant to Subsection e of Section 36
of P.L. 1996, c. 62 (N.J.S.A. 55:19-55). Upon written request by any
interested party, the Public Officer shall provide the party with
at least 20 days' notice of any such hearing. The party shall provide
the Public Officer 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.
