[1]
Editor's Note: Former Art. VII, Foreclosed Property Registration,
adopted 5-10-2010 by Ord. No. 1310, was superseded 9-27-2021 by Ord. No. 21-006.
[9-27-2021 by Ord. No.
21-006]
This article shall be known as the "Foreclosed, Vacant and Abandoned
Residential Property Registry Ordinance."
[9-27-2021 by Ord. No.
21-006]
(a)
The City Council finds that there are foreclosed, vacant, or abandoned
residential properties in the City that are a public nuisance and
that foreclosed, vacant, and abandoned residential properties that
are not maintained and secured constitute a hazard to the public health,
safety and welfare for the following reasons:
(1)
These properties often become dilapidated because they are not
maintained by the owners of the properties;
(2)
These properties attract children, harbor vermin, and provide
shelter for vagrants and criminals;
(3)
These properties are more likely to be vandalized or be the
target of arsonists;
(4)
These properties provide a dumping ground for garbage, trash,
and other debris; and
(5)
These properties require an increased amount of City resources
and staff time to maintain, secure, demolish, or otherwise respond
to problems associated with them.
(b)
The City Council finds that owners of foreclosed, vacant, and abandoned
residential properties should be held accountable for the physical
condition of their properties. At a minimum, the owners should prevent
the properties from creating a blight upon the surrounding neighborhood
and decreasing property values. The City Council also finds that a
responsible local agent should be required for all properties not
owned by persons or entities within a reasonable distance of the City
in order to safeguard the properties and structures, assist City personnel
with access for inspections, and accept notices concerning the properties.
[9-27-2021 by Ord. No.
21-006]
Unless the context indicates otherwise, the following words
used in this article shall have these meanings:
A parcel of real property that is unoccupied in any manner
for a consecutive period of six or more months. Provided, property
will be presumed to be abandoned property when mortgage, land contract,
or tax foreclosure proceedings have been initiated for that property,
no mortgage, land contract, or tax payments have been made by the
property owner for at least 90 days, and the property has been unoccupied
for at least 90 days. Property under construction is not considered
abandoned if all appropriate building permits are issued, in force,
and progress on construction is ongoing.
The official designated by the City to enforce building,
zoning, or similar laws and this article, or his or her duty authorized
representatives.
The process by which a lien, mortgage, or security interest
is enforced against a parcel of real property through sale or offering
for sale of the real property to satisfy the debt or claim. For the
purposes of this article, a parcel of real property for which there
is any of the following shall constitute a foreclosed property:
A notice of mortgage or delinquent tax foreclosure;
A notice of forfeiture related to delinquent property taxes
or a land contract;
A notice of trustee's sale;
A foreclosure sale of the real property where the title to the
real property will transfer to the mortgage or a third party other
than the mortgagor;
A judgment of foreclosure of mortgage, land contract, or delinquent
property taxes;
A judgment of foreclosure of a claim or lien; or
A transfer of title under a deed in lieu of foreclosure, deed
in lieu of sale, deed in lieu of forfeiture, or any other similar
instrument.
Any person or entity with a recognized legal or equitable
ownership or possessory interest in any real property, with or without
accompanying actual possession thereof. The owner shall include, but
not be limited to, a bank, a credit union, a trustee or financial
institution which is in possession (in whole or in part) of the real
property, or that is foreclosing a lien or mortgage interest in the
property but may or may not have legal or equitable title. "Owner"
also means any person or entity having charge, care or control of
any real property as agent of the owner, as executor, administrator,
trustee or guardian of the estate of the owner.
An authorized representative of a person, corporation, partnership,
firm, joint venture, trust, association, organization, or other entity
who is an owner of property. "Responsible local agent" also includes
a person or entity who is compensated by the owner to manage a property
if that person or entity is properly licensed accordingly to manage
property pursuant to Michigan law. The responsible local agent must
have, and will be deemed to have, if designated by the owner of the
property as the responsible local agent, the authority to do the following:
Receive all official notices concerning housing, zoning, blight,
dangerous buildings, and/or other matters concerning the property
on behalf of the owner of a property. Any notice received by the responsible
local agent shall be deemed to have been received by the property
owner; and
Provide access to the property for any inspection necessary
to ensure compliance with the terms of this chapter.
Taking such measures as may be directed by the City that
render the property inaccessible to unauthorized persons, including,
but not limited to, the repairing of fences and walls, chaining or
padlocking of gates, and repair of doors, windows and other openings.
A parcel of real property that has been unoccupied for a
period of 90 or more consecutive days or more, and is either:
[1-9-2023 by Ord. No.
22-007]
Subject to foreclosure as defined in this article;
Has been abandoned by the owner;
Is under a condemnation notice or order to vacate;
Is not in compliance with applicable housing, electrical, mechanical,
plumbing, or building codes;
Has one or more broken or boarded windows;
Is open to casual entry or trespass;
Is deteriorating due to a lack of maintenance or neglect;
Has a building or structure for which a building permit has
expired that is partially completed and is not fit for human occupancy;
Contains a building or structure that is structurally unsound;
Has utilities disconnected or not in use;
Has taxes in arrears for more than one year; or
Is a potential hazard or danger to the safety of persons.
[9-27-2021 by Ord. No.
21-006]
(a)
An owner of a foreclosed, vacant, or abandoned residential property
within the City shall register the structure with the Planning Department
within 15 days of the earlier of:
(1)
The property becoming subject to foreclosure;
(2)
The property becoming a vacant property;
(3)
The property becoming an abandoned property; or
(4)
Notice being sent to the owner of the structure by the Planning
Department that the structure has been declared a foreclosed, vacant,
or abandoned residential property.
(b)
An owner of a foreclosed, vacant or abandoned residential property
may apply for a registration on forms provided by the Planning Department.
The owner must pay the required registration fees. No registration
is valid unless filled out accurately and completely, signed by the
owner, and the proper fees have been paid. A registration fee once
tendered may not be refunded or transferred. It is a violation of
this article for an owner to provide inaccurate information on an
application for a registration.
(c)
The registration must contain the following information:
(1)
The address of the foreclosed, vacant, or abandoned residential
property;
(2)
The date on which the property became foreclosed, vacant, or
abandoned;
(3)
The legal name, address, telephone number, and date of birth
of the owner;
(4)
The names, addresses, and telephone numbers of the members of
any owner that is a limited liability company, and the dates of birth
of the members if individuals;
(5)
The names, addresses, and telephone numbers of the majority
shareholders of any owner that is a corporation, and the dates of
births of the majority shareholders if individuals;
(6)
An acknowledgment of local responsible agent form signed by
the local responsible agent, if required;
(7)
Any additional information required by the Planning Department;
and
(8)
A statement allowing authorized staff of the City to enter the
premises for purposes of inspection.
(d)
Payment in full of all the following fines, fees, and debts relating
to the property being registered that are owed to the City and are
currently due or past due must be paid prior to obtaining a foreclosed,
vacant, or abandoned residential property registration:
[9-27-2021 by Ord. No.
21-006]
If any information submitted upon the application for issuance
of a foreclosed, vacant or abandoned residential property registration
changes, including a change in ownership, a majority change of members
of an owner that is a limited liability company or a majority change
of shareholders in an owner that is a corporation, the owner must
notify the Planning Department within 10 days and submit an amended
application. There shall be no fee to update information if done within
10 days; however, failure to update information within 10 days shall
result in a late charge and is a violation of this article.
[9-27-2021 by Ord. No.
21-006]
A foreclosed, vacant or abandoned residential property registration
is valid for a period of two years from the date of issuance. A renewal
foreclosed, vacant or abandoned residential property registration
must be applied for at least 60 days prior to the expiration date.
Failure to timely renew a property registration is a violation of
this article and shall subject the property owner to late fees.
[9-27-2021 by Ord. No.
21-006]
The seller of a foreclosed, vacant or abandoned residential
property must notify the Planning Department within 45 days of the
sale or transfer and provide the name and address of the purchaser
or transferee. The purchaser or transferee must apply for a property
registration within 45 days of the sale or transfer, unless it is
intended to be occupied as a single-family owner-occupied structure
and has filed a principal residence exemption. No refunds or credits
of fees will be given when there is a transfer of ownership. If a
foreclosed, vacant or abandoned residential structure will be non-owner-occupied
after a sale or transfer of the ownership, a certificate of compliance
must first be obtained and all required fees must be paid.
[9-27-2021 by Ord. No.
21-006]
For a foreclosed, vacant or abandoned residential property owned
by a person or entity that resides more than 45 miles outside of the
City, the property owner must designate a responsible local agent
who resides within 45 miles of the City. If the responsible local
agent is a corporation, limited liability company, partnership or
other entity, the address of the registered office of the entity must
be within 45 miles of the City.
[9-27-2021 by Ord. No.
21-006]
(a)
An owner of a foreclosed, vacant, or abandoned residential property
shall comply with all of the following maintenance and security requirements:
(1)
The property and structure shall be maintained in a secure manner
so as not to be accessible to unauthorized person, including, but
not limited to, the closure and locking of windows, doors, gates,
and any other openings of such a size that could allow a child or
other person to access the interior of the property and/or structure.
(2)
The property on which the structure is located shall be in compliance with Chapter 22 of this Code for grass and vegetation maintenance;
(3)
The property shall be kept free of trash, junk, and debris as required by Chapter 22 of this Code;
(4)
The structure shall be maintained in accordance with applicable sections of Chapter 22 of this Code;
(5)
The property shall be kept free of any accumulation of newspapers,
circulars, flyers, and notices except for those required by federal,
state, or local law;
(8)
All structures on the property shall be properly winterized
so to prevent bursting of pipes; and
(9)
Pools, spas, and other water features shall be covered by a
safety cover approved by the State Construction Code and shall comply
with the minimum security fencing and barrier requirements.
[9-27-2021 by Ord. No.
21-006; 1-9-2023 by Ord. No. 22-007]
Periodic monitoring shall be conducted by the Chief Building
Official or his or her authorized representatives to assure continuing
compliance with the duties set forth in this article. A fee determined
by resolution of the City Council shall be established to offset the
cost of monitoring the foreclosed, vacant, or abandoned residential
property. The monitoring fee will be billed annually in advance and
is the responsibility of the owner. No refunds or credits of the monitoring
fee will be given.
[9-27-2021 by Ord. No.
21-006]
If the owner fails to secure or maintain property as required
under this section, such failure shall constitute a hazardous condition
and is considered a nuisance. Within three business days after a notice
to abate has been provided, the Chief Building Official or his or
her authorized representative may abate the nuisance without giving
further notice. The Chief Building Official or his or her authorized
representative may abate the offending condition by arranging for
City employees or private contractors to secure and board the structure,
remove rubbish and debris from the premises, or make repairs to maintain
the buildings and premises to conform to this section. The cost of
abating the nuisance condition(s) is the responsibility of the owner
and may be charged to the owner and against the property. The Chief
Building Official or his or her authorized representative may abate
a public nuisance without giving notice if the public health or safety
requires immediate abatement.
[9-27-2021 by Ord. No.
21-006]
An owner assessed for abatement costs may appeal the assessment
to the Construction Board of Appeals. On appeal, the Construction
Board of Appeals shall determine whether the property was in violation
of this article, whether the owner was provided with notice as required
by this article prior to abatement of the nuisance (except for in
the case of emergency abatement), and whether the costs charged to
the owner and assessed against the property were properly calculated.
An appeal shall be filed within 20 days after the City serves notice
on the owner of the property that the costs will be charged to the
owner and assessed against the property.
[9-27-2021 by Ord. No.
21-006]
Residential properties that are foreclosed, vacant or abandoned
shall be posted with a contact number that individuals can call to
report problems or concerns to the Planning Department. The posting
shall be no less than 18 inches by 24 inches, shall be in a font legible
from a distance of 45 feet, and shall contain, along with the contact
number of the Planning Department, the words "TO REPORT PROBLEMS OR
CONCERNS CALL." The posting shall also contain the name and contact
information of the owner of the property or the responsible local
agent, if any, along with the words "IS RESPONSIBLE FOR THE MAINTENANCE
OF THIS PROPERTY." The posting shall be placed on the interior of
a window facing the street to the front of the property so it is visible
from the street, or secured to the exterior of the building or structure
facing the street to the front of the property. Exterior postings
must be constructed of and printed with weather-resistant materials.
[9-27-2021 by Ord. No.
21-006; 1-9-2023 by Ord. No. 22-007]
(a)
All fees applicable to this article shall be set from time to time
by resolution of the City Council and shall include at a minimum:
(1)
A biennial registration fee charged to the owner at the time
of registration of the foreclosed, vacant, or abandoned residential
property;
(2)
A failure to register fee charged to the owner for failing to
register the foreclosed abandoned residential property as required
by this article;
(3)
An annual monitoring fee charged to the owner for periodic inspections
by the Planning Department to assure continuing compliance with this
article. A nonrefundable payment of monitoring fees shall be invoiced
at the beginning of the calendar year;
(4)
An inspection fee charged to the owner for any inspection caused
by the owner's failure to comply with the maintenance and security
duties set forth in this article; and
(5)
Administrative charges may also be charged to the owner for
search warrants, title searches, boarding and securing, removal of
rubbish and debris, and preparation for prosecution.
(b)
All fees collected from the foreclosed, vacant, or abandoned residential
property registry shall be placed in a code enforcement fund. No part
of the funds held in the code enforcement fund may be transferred
into the general operating fund for any reason.
[9-27-2021 by Ord. No.
21-006]
Any property that has a current, valid foreclosed, vacant or
abandoned residential property registration shall not be required
to pay the registration fee required by the non-owner-occupied residential
structure or unit registry ordinance.
[9-27-2021 by Ord. No.
21-006]
If an owner fails to pay fees or charges due under the terms
of this article, an invoice for the fees or charges will be submitted
to the owner. If the owner fails to pay the invoiced charges within
30 days of mailing of the invoice, the City may cause the cost reflected
in the invoice to be assessed against the property as a special assessment.
The City may also institute an action against the owner for the collection
of the costs in any court of competent jurisdiction. However, the
City's attempt to collect such costs shall not invalidate or waive
any lien filed against the property.
[9-27-2021 by Ord. No.
21-006]
All notices required by Chapters 2, 10, 22, and 52 of this Code, including notice of any violations of this article or demand for abatement concerning a foreclosed, vacant or abandoned residential property, may be served upon the registered owner of record or upon the responsible local agent by either first-class mail, certified mail, or personal service and by posting a copy thereof in a conspicuous place on or about the structure affected by the notice.
[9-27-2021 by Ord. No.
21-006]
The City shall not be liable to any person or entity by reason
of this article or the issuance of a foreclosed, vacant or abandoned
residential property registration. A property registration is not
a warranty or guarantee that there are no defects in or on any foreclosed,
vacant or abandoned property.
[9-27-2021 by Ord. No.
21-006]
Vacant property and abandoned property which are in violation
of this article are considered to be a nuisance per se and are subject
to abatement in any manner prescribed by law.
[9-27-2021 by Ord. No.
21-006]
A violation of any provision of this article is a blight violation and is subject to enforcement by the procedures and penalties as provided in Chapter 2 of this Code. Each day that a provision of this article continues to exist is a separate offense.
[9-27-2021 by Ord. No.
21-006]
If any provision of this article is determined to be unenforceable
by a court, the remainder of this article shall be deemed severable
and is to remain in full force and effect.
