[HISTORY: Adopted by the Mayor and Council of the Borough
of Runnemede as indicated in article histories. Amendments noted where
applicable.]
[Adopted 3-3-2015 by Ord.
No. 15-05]
Pursuant to the provisions of P.L. 2014, c. 35,[1] a creditor filing a summons and complaint to foreclose
a lien on a residential property that is vacant and abandoned, whether
the filing of the summons and complaint is made before or after the
determination that the property is vacant and abandoned, shall be
responsible for the care, maintenance, security and upkeep of the
exterior of the residential property. This obligation applies whether
the determination that the property is vacant and abandoned is made
by the public officer pursuant to the provisions of P.L. 2014, c.
35 and/or the Code of the Borough of Runnemede, pursuant to the provisions
of N.J.S.A. 2A:50-73 or otherwise.
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s.
An out-of-state creditor shall include the full name and contact
information of the in-state representative or agent in the notice
required to be provided to the Municipal Clerk pursuant to paragraph
one of N.J.S.A. 46:10B-51. An out-of-state creditor found by a court
of competent jurisdiction to have violated this provision shall be
subject to a fine of $2,500 for each day of the violation commencing
on the day after the ten-day period set forth in paragraph one of
N.J.S.A. 46:10B-51 with respect to notifying the municipal clerk that
an action to foreclose on the property has been filed.
Any other person, firm, corporation or entity, including a creditor,
required to care, maintain, secure and keep up a property under this
article cited in a notice issued pursuant hereto for violating any
provision of this article, shall, upon conviction, be punishable and
subject to a fine of $1,500 for each day of the violation.
Notice of violations of property maintenance, building or other
property codes for any property declared vacant and abandoned pursuant
to this article shall be given to a foreclosing creditor pursuant
to the procedures as required by P.L. 2014, c. 35.[1]
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s.
[Adopted 5-3-2022 by Ord.
No. 22-05]
It is the intent of this article, as further detailed within
its enabling ordinance, to enable the Borough of Runnemede to engage
in the identification, registration, monitoring, and migration of
properties that are or may become vacant and abandoned to the fullest
extent permitted by P.L. 2021, c. 444,[1] in order to combat the immeasurable and deleterious effects
of blight arising from residential and commercial properties that
become vacant or abandoned during the foreclosure process.
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s1 et seq.
All words, terms, and phrases used within this article shall
be defined and interpreted consistent with their meanings as outlined
within P.L. 2021, c. 444,[1] as may be amended from time to time.
A state-chartered bank, savings bank, savings-and-loan association
or credit union, any person required to be licensed under the provisions
of the New Jersey Residential Mortgage Lending Act, Sections 1 through
39 of P.L. 2009, c. 53 (N.J.S.A. 17:11C-51 through N.J.S.A. 17:11C-89),
and any entity, agent, or assignee acting on behalf of the creditor
named in the debt obligation, including, but not limited to, servicers,
who has filed a complaint in the Superior Court seeking to foreclose
upon a residential or commercial mortgage. A creditor shall not include
the state, a political subdivision of the state, or a state, county,
or local government entity, or their agent or assignee, such as the
servicer.
A property shall be deemed "vacant and abandoned" for purposes
of this article if:
The property is not legally occupied by a mortgagor or tenant;
and
The property is not legally reoccupied because of at least two
of the following conditions:
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, delivery persons, or government employees
indicating that the property 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 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 a mortgagor expressing the clear
intent of all mortgagors to abandon the property; or
Any other reasonable indicia of abandonment.
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s1 et seq.
A.
The Borough of Runnemede shall create and maintain a registry of
all commercial and/or residential properties within its municipal
boundary for which a summons and complaint in an action to foreclose
has been filed with the New Jersey Superior Court, pursuant to its
authority granted by P.L. 2021, c. 444.[1] This registry will be formed and maintained to assist
the Borough with regulating the maintenance, security, and upkeep
of properties which may become vacant and abandoned during the foreclosure
process in order to prevent the deleterious effects of blight associated
with vacant and abandoned properties that are not maintained.
[1]
Editor's Note: See N.J.S.A. 40:48-2.12s1 et seq.
B.
The Borough of Runnemede may, at its discretion, create, maintain
and administer this registry independently, retain the professional
services of a third party pursuant to the Local Public Contracts Law,
N.J.S.A. 40A:11-1 et seq., or participate in a shared services agreement
with other local units, counties, and/or county improvement authorities
for the creation, maintenance and administration of the registry pursuant
to the Uniform Shared Services and Consolidation Act, N.J.S.A. 40A:65-l
et seq.
C.
Any third parties retained to create, maintain, and/or administer
the registry shall have the authority, on behalf of the Borough, to:
D.
Any third parties retained to create, maintain, and/or administer
the registry shall be required to comply with the following reporting
and payment requirements:
(1)
Any and all amounts collected by the third party as part of its administration
of the Borough's registry, including registration fees, interest,
and penalties, shall be paid in full directly to the Borough or Camden
County, and/or Camden County Improvement Authority as applicable,
not less than once per year, or as otherwise directed by the Borough.
No fees, payments, expenses, or other deductions shall be made from
this payment; payment for any third party's services under this
article shall be made by the Borough, or as applicable, the county/County
Improvement Authority, directly to the third party, under the terms
and conditions outlined within the contract for professional services.
(2)
Not less than once per year on the first business day of each calendar
year, or as otherwise may be requested by the Tax Collector, any third
party administering the Borough's registry shall file with the
Tax Collector a certification identifying:
(a)
The address, block, lot and contact information of any property
for which registration fees under this article are due and owing at
the time of the certification;
(b)
The amount of the registration fees, and, separately, any interest,
fines, and other penalties due and owing at the time of the certification;
and
(c)
The date on which the property became eligible for inclusion
on the Borough's registry.
E.
The Borough's Clerk or his or her designee shall serve as the
municipal official responsible for notifying creditors, establishing
and maintaining the registry, determining eligibility for designation
as a vacant and abandoned property under this article, and for imposing
fees, penalties, and/or violations. The responsibilities herein may
be designated to a third party, pursuant to the terms and conditions
of a contract for professional services consistent with P.L. 2021,
c. 444.
A.
Within 30 days of the effective date of this article, any creditor who has initiated a summons and complaint with the New Jersey Superior Court in an action to foreclose on a commercial and/or residential mortgage for a property located within the Borough of Runnemede prior to the effective date of this article, and which is pending as of the effective date of this article shall provide notice in accordance with Subsection B of this section.
B.
Within 10 days of filing a summons and complaint with the New Jersey
Superior Court in an action to foreclose on a commercial and/or residential
mortgage for a property located with the Borough of Runnemede, the
creditor shall notify the Borough Clerk, or his or her designee, of
the action.
(1)
Such notice shall include:
(a)
The address, block, and lot of the subject property;
(b)
The date the summons and complaint in an action to foreclose
on a mortgage was filed against the subject property, the court in
which it was filed, and the docket number of the filing;
(c)
Whether the property is vacant and abandoned in accordance with
the definition in this article;
(d)
The full name, address and telephone number for the representative
of the creditor who is responsible for receiving notice of complaints
of property maintenance and code violations;
(e)
The full name, address, and telephone number of any person or
entity retained by the creditor or a representative of the creditor
to be responsible for any care, maintenance, security, or upkeep of
the property; and
(f)
If the creditor is out of state, the full name, address, and
telephone number of an in-state representative or agent who shall
be responsible for any care, maintenance, security or upkeep of the
property, and for receiving notice complaints of property maintenance
and code violations.
(2)
The notice requirements herein represent a continuing obligation
through the pendency of this foreclosure action. After initial notice
to the Borough, creditors subject to the notice requirement shall
update the Borough's property registration program within 10
days of any change in the information contained in the original or
any subsequent notices.
C.
Creditors of any commercial and/or residential mortgage required
to notify the Borough pursuant to this section shall:
(1)
Register the property with the Borough's property registration
program as a property in foreclosure within 30 days of notifying the
Borough;
(2)
Be subject to the registration fee, notice requirements and penalties
for noncompliance established within this article;
(3)
Update the property registration within 10 days of any change in
the information contained in the original notice to the Borough;
(4)
If an out-of-state creditor, appoint an in-state representative or
agent to act for the foreclosing creditor, whose contact information
shall be contained within the initial notice to the Borough;
(5)
Within 10 days of the property becoming vacant and abandoned at any
time during the pendency of the foreclosure action, the creditor shall:
(a)
Assume responsibility for the care, maintenance, upkeep and
security of the exterior of the property;
(b)
Secure the property against unauthorized entry;
(c)
Post a sign on the inside of the property, visible to the public,
containing the name, address, and telephone number of the creditor,
or an out-of-state creditor's in-state representative or agent,
for the purpose of receiving service of process;
(d)
Acquire and maintain a vacancy insurance policy which covers
any damage to any person or any property caused by any physical condition
of the property while registered with the Borough's property
registration program;
(e)
Provide proof, within 10 days of receiving a request by the
Borough or its designee, that the above conditions have been satisfied;
(f)
Cure any violations of the above requirements within 30 days
of receiving a notice of violation, or if deemed to present an imminent
threat to public health and safety, within 10 days of receiving such
notice.
(6)
Update the property registration within 10 days of the creditor becoming
aware that the property is deemed vacant and abandoned as defined
herein.
D.
If at any time the creditor is deemed to be in violation of the above
requirements and/or if the property is deemed to be in violation of
any other applicable local or state maintenance, health or safety
codes, the Code Official or his or her designee shall notify the creditor
using the contact information provided in the property registry established
by this article.
B.
Creditors required to notify the Borough and register a property
as one in foreclosure shall be required to pay the following annual
registration fee, per property, due at the time of registration, of
$500.
C.
If a property registered with the Borough's registration program
as a property in foreclosure is vacant and abandoned at the time of
registration or becomes vacant and abandoned at any time during the
pendency of the foreclosure proceeding, the creditor shall pay an
additional annual registration fee, per property, due at the time
the determination that the property is vacant and abandoned is made,
of $2,000.
D.
Violations.
(1)
An out-of-state creditor subject to the notice and registration requirements
of this article found to be in violation of the requirement to appoint
an in-state representative or agent shall be subject to a fine of
$2,500 for each day of the violation. The violation shall be deemed
to commence on the day after the creditor's initial ten- or thirty-day
requirement to notify the Borough of applicable foreclosure actions.
(2)
A creditor subject to the notice and registration requirements of this article found to be in violation of any part of this article [with the exception of a violation pursuant to Subsection D(1) of this section] shall be subject to a fine of $1,500 for each day of the violation. The violation shall be deemed to commence on the 31st day following the creditor's receipt of a notice of violation or, if deemed to present an imminent threat to public health and safety, on the 11th day following the creditor's receipt of such notice.
E.
If the Borough expends public funds in order to abate a nuisance
or correct a violation on a commercial property in situations in which
the creditor was given notice pursuant to this article but failed
to abate the nuisance or correct the violation as directed, the Borough
shall have the same resource against the creditor as it would have
against the title owner of the property, including, but not limited
to, the recourse provided under N.J.S.A. 55:19-100 et seq.
