[HISTORY: Adopted by the Town Board of the Town of Southampton 4-27-2021 by L.L. No. 15-2021. Amendments noted where applicable.]
The Town Board of the Town of Southampton seeks to establish
a process to address the deterioration, crime, and decline in value
of Town neighborhoods caused by property with foreclosing or foreclosed
mortgages located within the Town, and further identify, regulate,
limit and reduce the number of these properties located within the
Town. It has been determined that owner-occupied structures are generally
better maintained when compared to vacant structures, even with a
diligent off-site property owner. Structures owned by individuals
who are economically strained and unable to meet their mortgage obligations
are often not properly or diligently maintained, which contribute
to blight, creation of life safety issues, declined property values,
and have a negative impact on social perception of the residential
areas where they are located. It is the Town Board's further intent
to establish a registration program as a mechanism to help protect
neighborhoods from becoming blighted through the lack of adequate
maintenance of properties that are in foreclosure or foreclosed, and
to provide a mechanism to avert foreclosure actions through timely
intervention, education, or counseling of property owners.
The following words, terms, and phrases, when used in this chapter,
shall have the meanings ascribed to them in this section, except where
the context clearly indicates a different meaning.
Twelve months from the date of the first action that requires
registration, as determined by the Town, or its designee, and every
subsequent 12 months the property is registrable. The date of the
initial registration may be different than the date of the first action
that required registration.
[Amended 2-28-2023 by L.L. No. 11-2023]
The mortgagor has not complied with the terms of the mortgage
on the property, or the promissory note, or other evidence of the
debt, referred to in the mortgage.
Any law enforcement officer, building inspector, ordinance
inspector, ordinance enforcement officer, fire marshal, town attorney's
office investigator, or other person authorized by the Town to enforce
the applicable code(s).
Any condition that, on its own or combined with other conditions
present, would lead a reasonable person to believe that the property
is vacant. Such conditions may include, but are not limited to, overgrown
and/or dead vegetation; past due utility notices and/or disconnected
utilities; accumulation of trash junk or debris; abandoned vehicles,
auto parts and/or materials; the absence of furnishings and/or personal
items consistent with habitation or occupancy; the presence of an
unsanitary, stagnant swimming pool; the accumulation of newspapers,
circulars, flyers and/or mail; statements by neighbors, passers-by,
delivery agents or government agents; and/or the presence of boards
over doors, windows or other openings in violation of applicable code.
The legal process by which a mortgagee, or other lien holder,
terminates or attempts to terminate a property owner's equitable right
of redemption to obtain legal and equitable title to the real property
pledged as security for a debt or the real property subject to the
lien. The legal process is not concluded until the property obtained
by the mortgagee, lien holder, or their designee, by certificate of
title, or any other means, is sold to a nonrelated bona fide purchaser
in an arm's length transaction to satisfy the debt or lien.
The creditor, including, but not limited to, trustees; mortgage
servicing companies; lenders in a mortgage agreement; any agent, servant,
or employee of the creditor; any successor in interest; or any assignee
of the creditor's rights, interests or obligations under the mortgage
agreement; or any other person or entity with the legal right to foreclose
on the real property, excluding governmental entities as assignee
or owner.
Every person, entity, or mortgagee who, alone or severally
with others, has legal or equitable title to any real property as
defined by this chapter; has legal care, charge, or control of any
such property; is in possession or control of any such property; and/or
is vested with possession or control of any such property. The property
manager shall not be considered the owner.
Any party designated by the owner as responsible for inspecting,
maintaining and securing the property as required in this chapter.
Any residential or commercial land and/or buildings, leasehold
improvements and anything affixed to the land, or portion thereof
identified by a property parcel identification number, located in
the Town limits.
Any real property located in the Town, whether vacant or
occupied, that is subject to an ongoing foreclosure action by the
mortgagee or trustee, has been the subject of a foreclosure action
by a mortgagee or trustee and a judgement has been entered, or has
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. The
designation of a "foreclosure" property as "registrable" shall commence
upon filing of a notice of pendency in a court of competent jurisdiction,
and remain in place until such time as the property is sold to a nonrelated
bona fide purchaser in an arm's length transaction or the foreclosure
action has been dismissed.
[Amended 2-28-2023 by L.L. No. 11-2023]
A web-based electronic database of searchable real property
records, used by the Town to allow mortgagees the opportunity to register
properties and pay applicable fees as required in this chapter.
Any utility and/or service that is essential for a building
to be habitable and/or perform a service necessary to comply with
all Town codes. This includes, but is not limited to, electrical,
gas, water, sewer, lawn maintenance, pool maintenance, and snow removal.
Any parcel of land in the Town that contains any building
or structure that is not lawfully occupied.
Pursuant to the provisions of Chapter 262, the Town, or its designee, shall establish a registry cataloging each registrable property within the Town, containing the information required by this chapter.
A.
Any mortgagee
who holds a mortgage on real property located within Southampton Town
shall perform an inspection of the property upon default by the mortgagor
as evidenced by the filing of a notice of pendency in a court of competent
jurisdiction in a foreclosure action.
[Amended 2-28-2023 by L.L. No. 11-2023]
B.
Property inspected pursuant to Subsection A above that remains in foreclosure shall be inspected every 30 days by the mortgagee or mortgagee's designee. If an inspection shows a change in the property's occupancy status, the mortgagee shall, within 10 days of that inspection, update the occupancy status of the property registration.
C.
Within
10 days of the date any mortgagee files notice of pendency in a court
of competent jurisdiction in a a foreclosure action, the mortgagee
shall register the real property with the Southampton Town Registry,
and, at the time of registration, indicate whether the property is
vacant, and if so shall designate in writing a property manager to
inspect, maintain and secure the real property subject to the mortgage
in foreclosure when legally possible. A separate registration is required
for each registrable property.
[Amended 2-28-2023 by L.L. No. 11-2023]
D.
Initial
registration pursuant to this section shall contain at a minimum the
name of the mortgagee, the mailing address of the mortgagee, e-mail
address, telephone number and name of the property manager and said
person's address, e-mail address, and telephone number, regardless
of whether it is occupied or vacant.
E.
At the
time of initial registration each registrant shall pay a nonrefundable
semiannual registration fee as established by annual fee schedule
for each registrable property. Subsequent nonrefundable semiannual
registrations of properties and fees in the amount as established
by annual fee schedule are due within 10 days of the expiration of
the previous registration. Said fees shall be used to offset the costs
of: (1) registration and registration enforcement, (2) code enforcement
and mitigation related to defaulted properties, (3) post-closing counseling
and foreclosure intervention limited to owner-occupied persons in
default, which may not include cash and mortgage modification assistance,
and (4) for any related purposes as may be adopted in the policy set
forth in this chapter. Said fees shall be deposited to a special account
in the Town's Department dedicated to the cost of implementation and
enforcement of this chapter, and fulfilling the purpose and intent
of this chapter. None of the funds provided for in this section shall
be utilized for the legal defense of foreclosure actions.
[Amended 2-28-2023 by L.L. No. 11-2023]
F.
If the
mortgage and/or servicing on a property is sold or transferred, the
new mortgagee is subject to all the terms of this chapter. Within
10 days of the transfer, the new mortgagee shall register the property
or update the existing registration. The previous mortgagee(s) will
not be released from the responsibility of paying all previous unpaid
fees, fines, and penalties accrued during that mortgagee's involvement
with the registrable property.
G.
If the
mortgagee sells or transfers the registrable property in a non-arm's-length
transaction to a related entity or person, the transferee is subject
to all the terms of this chapter. Within 10 days of the transfer,
the transferee shall register the property or update the existing
registration. Any and all previous unpaid fees, fines, and penalties,
regardless of who the mortgagee was at the time registration was required,
including but not limited to unregistered periods during the foreclosure
process, are the responsibility of the transferee and are due and
payable with the updated registration. The previous mortgagee will
not be released from the responsibility of paying all previous unpaid
fees, fines, and penalties accrued during that mortgagee's involvement
with the registrable property.
H.
If the
foreclosing or foreclosed property is not registered, or the registration
fee is not paid within 30 days of when the registration or renewal
is required pursuant to this section, a late fee equivalent to 10%
of the annual registration fee shall be charged for every thirty-day
period, or portion thereof, the property is not registered and shall
be due and payable with the registration.
[Amended 2-28-2023 by L.L. No. 11-2023]
I.
This section
shall also apply to properties that have been the subject of a foreclosure
sale where title is transferred to the mortgagee as well as any properties
transferred to the mortgagee under a deed in lieu of foreclosure or
by any other legal means.
J.
Properties
subject to this section shall remain subject to the annual registration
requirement, and the inspection, security, and maintenance standards
of this section as long as the property remains registrable.
[Amended 2-28-2023 by L.L. No. 11-2023]
K.
Failure
of the mortgagee and/or property owner of record to properly register
or to modify the registration to reflect a change of circumstances
as required by this chapter is a violation of this chapter and shall
be subject to enforcement by any of the enforcement means available
to the Town.
L.
If any
property is in violation of this chapter, the Town may take the necessary
action to ensure compliance with and/or place a lien on the property
for the cost of the outstanding obligation and any additional cost
incurred to the property into compliance.
M.
Registration
of foreclosure property does not alleviate the mortgagee and/or owner
from obtaining all required licenses, permits and inspections required
by applicable code or state statutes. Acquisition of required licenses,
permits and inspections or registration of rental property does not
alleviate the requirement for the property to be registered under
this section. Mortgagee and/or owner is expected to update the status
of the property in the event of a mortgagee-managed rental.
A.
Properties subject to this chapter shall be kept free of weeds, overgrown brush, dead vegetation, trash, junk, debris, building materials, any accumulation of newspaper 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 pursuant to Chapter 261 of the Southampton Town Code, and the New York State Uniform Fire Prevention and Building Code and the standards.
B.
Registrable
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, of registrable property shall be maintained in accordance with pursuant to Chapter 261 of the Southampton Town Code, the New York State Uniform Fire Prevention and Building Code and the standards, and all other applicable code(s) at the time registration is required.
D.
Registrable
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. 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 of shall be maintained so the water remains free and clear of pollutants and debris and shall comply with the regulations set forth in Chapter 123, Article VI, § 123-40 of the Southampton Town Code, the New York State Uniform Fire Prevention and Building Code and the standards, and all other applicable code(s).
G.
Failure
of the mortgagee, owner, and transferees to properly maintain the
property as required by this chapter may result in a violation of
the applicable code(s) and issuance of a notice of violation or citation
in accordance with the Southampton Town Code.
H.
Pursuant
to a finding and determination by a court of competent jurisdiction,
or resolution of the Town Board, the Town may take the necessary action
to ensure compliance with this section.
I.
In addition
to the above, the property is required to be maintained in accordance
with the Southampton Town Code.
J.
The Town
Attorney's Office is designated to prosecute all violations of the
New York State Uniform Fire Prevention and Building Code and Southampton
Town Code in the Southampton Town Justice Court.
A.
Properties
subject to this chapter 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.
C.
If a property
is registrable, and the property has become vacant or blighted, a
property manager shall be designated by the mortgagee or owner 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 chapter,
and any other applicable laws.
D.
In addition
to the above, the property is required to be secured in accordance
with the applicable code(s) of the Town.
E.
When a
property subject to this chapter becomes vacant, it shall be posted
with the name and twenty-four-hour contact telephone number of the
property manager. The property manager shall be available to be contacted
by the Town Monday through Friday between 9:00 a.m. and 5:00 p.m.,
legal holidays excepted. The sign shall be placed in a window facing
the street and shall be visible from the street. The posting shall
be no less than 18 inches by 24 inches and shall be of a font that
is legible from a distance of 45 feet. The posting shall contain the
following language with supporting information:
THIS PROPERTY IS MANAGED BY ________________________________.
AND IS INSPECTED ON A REGULAR BASIS. THE PROPERTY MANAGER CAN BE CONTACTED
BY TELEPHONE AT ________________________________ OR BY EMAIL AT ________________________________.
F.
The posting required in Subsection E above shall be placed on the interior of a window facing the street to the front of the property so that it is visible from the street, or secured to the exterior of the building/structure facing the street to the front of the property so that it is visible from the street, or if no such area exists, on a stake of sufficient size to support the posting in a location that is at all times visible from the street to the front of the property but not readily accessible to vandals. Exterior posting shall be constructed of and printed with weather-resistant materials.
G.
Failure
of the mortgagee and/or property owner of record to properly inspect
and secure a property subject to this chapter, and post and maintain
the signage noted in this section, is a violation and shall be subject
to enforcement by any of the enforcement means available to the Town.
The Town may take the necessary action to ensure compliance with this
section, and recover costs and expenses in support thereof.
The provisions of this chapter are cumulative with and in addition
to other available remedies. Nothing contained in this chapter shall
prohibit the Town from collecting on fees, fines, and penalties in
any lawful manner; or enforcing its codes by any other means, including,
but not limited to, injunction, abatement, or as otherwise provided
by law or ordinance.
All registrable property is at risk of being a public nuisance,
or creating a life safety issue, and if vacant or blighted can constitute
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 Town.
A.
If the
Enforcement Officer has reason to believe that a property subject
to the provisions of this chapter 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 mortgagee or
owner, and may bring the violations before the Town Board or court
of competent jurisdiction as soon as possible to address the conditions
of the property. Nothing herein shall limit the Town from abating
any nuisance or unsafe condition by any other legal means available
to it.
B.
Code enforcement,
Town Board, the Sheriff, or court of competent jurisdiction shall
have the authority to require the mortgagee or owner 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 Code enforcement,
Town Board, the Sheriff, or court of competent jurisdiction may direct
the Town to abate the violations and charge the mortgagee or owner
with the cost of the abatement.
D.
If the
mortgagee or owner does not reimburse the Town for the cost of temporarily
securing the property, or of any abatement directed by the Sheriff,
code enforcement officer, code enforcement, Council or special magistrate,
within 30 days of the Town sending the mortgagee or owner the invoice,
then the Town may lien the property with such cost, along with an
administrative fee as determined in the Town's fee ordinance to recover
the administrative personnel services. In addition to filing a lien,
the Town may pursue financial penalties against the mortgagee or owner.
E.
The Town
may contract with an entity to implement this chapter, and, if so,
any reference to the Enforcement Officer herein shall include the
entity the Town contract with for that purpose.
Any Enforcement Officer or any person authorized by the Town
to enforce the sections here within 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 chapter.
A.
Any person
who violates any provision of this chapter shall be guilty of a violation
and shall, upon conviction, be subject to the imposition of a fine
in accordance with the following schedule for each violation. Each
day that a violation continues shall be deemed a separate offense.
B.
Violations of this chapter shall be punishable by a fine not exceeding $1,000 or by imprisonment for a term not exceeding 15 days, or both, for each violation. In addition to any fines imposed, anyone convicted pursuant to this section shall be required to pay a mandatory blight mitigation surcharge of $100. The blight mitigation surcharge shall be paid to the clerk of the court or administrative tribunal that rendered the conviction. Within the first 10 days of the month following collection of the mandatory surcharge, the collecting authority shall then pay such money to the Town Comptroller, who shall deposit such money in accordance with the provisions of § 8-6.1A of the Code.
C.
Any second or subsequent conviction for a violation of this chapter within an eighteen-month period shall be considered a violation and shall be punishable by a fine of not less than $1,000 nor more than $5,000 or a term of imprisonment not to exceed 15 days, or both. An individual convicted hereunder shall not be subject to the mandatory blight mitigation surcharge discussed in § 262-11B above.
D.
When authorized by a duly adopted resolution of the Town Board, the Town Attorney may pursue any and all actions in law or equity, including but not limited to actions for compensatory damages; civil penalties; to compel compliance, or to restrain by injunction violations of the standards enumerated in § 261-1.
(1)
Each day of a continuing violation of Chapter 262 shall be subject to an escalating civil penalty as follows: $150 for the first day of violation or any part thereof, $250 for the second day of violation or any part thereof, and $500 for the third day of violation or any part thereof and for all subsequent days of violation.
(2)
Civil
penalties may be recovered in any action or proceeding brought by
the Town Attorney in any court of competent jurisdiction or before
a duly appointed hearing officer whenever permitted by law.
(3)
Up to 100% of the monies recovered under Town Code § 261-2C shall be paid into the Town-Wide Blight Mitigation Reserve Account, with the remainder thereafter to be used for any other lawful purpose, including placement into the Water Quality Protection Fund.
(4)
Any
civil penalty imposed shall be in addition to any fine and/or imprisonment
as a result of a criminal prosecution provided for under this section
or any state or local law.
(5)
Anyone
convicted for violation of this chapter shall be liable for any direct
costs incurred by the Town as a result of the violation(s).
Registration fees and penalties outlined in this chapter may
be modified from time to time by a duly adopted Town Board resolution.
