[HISTORY: Adopted by the Mayor and Council of the Borough
of Swedesboro 7-5-2016 by 10-2016[1]; amended in its entirety 8-1-2022 by Ord. No. 8-2022.
Subsequent amendments noted where applicable.]
[1]
Editor's Note: This ordinance also repealed former Ch. 239,
Property, Abandoned, Vacant or Foreclosed, adopted 11-3-2014 by Ord.
No. 10-2014.
A.
The purpose of this chapter is to establish a program for identifying
and registering foreclosure properties; to establish the responsibilities
of responsible parties of foreclosure properties, whether occupied
or vacant and abandoned; to ensure that foreclosure properties are
maintained in compliance with applicable Borough, county, state and
federal codes. It is the municipality's further intent to participate
in the county-wide registration program established by Gloucester
County as a mechanism to protect neighborhoods from becoming blighted
due to the lack of adequate maintenance and security of foreclosure
properties.
B.
The Borough Council finds, determines and declares that buildings
and property which remain vacant and unoccupied for any appreciable
period of time become a harborage for rodents, an invitation for illegal
occupancy and for illegal activities, as well as a fire hazard, and
that unkempt grounds surrounding the property invite dumping and rubbish
thereon, that such buildings become dilapidated, contribute to commercial
and residential blight, depress market values of surrounding property,
require additional government services, endanger the public safety
and health, and generally remain detrimental to the public good. Unsupervised
vacant/abandoned or foreclosed properties have a negative impact on
surrounding properties and neighborhoods. Responsible parties of such
structures and property should be held accountable for the physical
condition of the property.
C.
This chapter establishes responsibilities of responsible parties
of foreclosured properties and structures and provides for administration
and enforcement of standards related to such property and structures.
This chapter incorporates the International Property Maintenance Code
and all applicable federal, state and local building and fire codes.
This chapter shall apply to all foreclosure property and/or structure
within the Borough of Swedesboro.
D.
It is in the public interest for the Borough to establish minimum
standards of accountability on the responsible parties of foreclosure
properties in order to protect the health, safety and welfare of the
residents of the Borough.
E.
It is in the public interest for the Borough to impose a reasonable
administrative fee in conjunction with registration of foreclosure
properties in light of the disproportionate costs imposed on the Borough
by the presence of these properties.
For the purposes of this chapter and unless otherwise expressly
stated, the following words and phrases are defined as follows:
Any real property located in the municipality, whether vacant
or occupied, complaint for foreclosure, lis pendens or other filing,
filed against it by the lender holding a mortgage on the property,
is subject to an ongoing foreclosure action by the lender, or has
been transferred to the lender under a deed in lieu of foreclosure.
The designation of a property as abandoned shall remain in place until
such time as the property is sold or transferred to a new owner in
an arm's-length transaction, the foreclosure action has been
dismissed, and/or lis pendens rescinded.
A property that is accessible through a compromised/breached
gate, fence, wall, etc., or a structure that is unsecured in such
a way as to allow easy access to the interior space by unauthorized
persons.
Twelve months from the date of the first action that requires
registration, as determined by the Borough, 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.
Codes, including, but not limited to, the municipality's
zoning code and General code, International Property Maintenance code,
and the New Jersey Building Code.
Properties that have broken or severely damaged windows, doors,
wall, and/or roofs which create hazardous conditions and/or encourage
trespassing; or
Properties cited for a public nuisance; or
Properties that endanger the public's health, safety, or
welfare because the properties or the improvements thereon are dilapidated,
deteriorated, or violate minimum health and safety standards, or lack
maintenance per applicable codes.
An owner of property subject to a mortgage, who grants a
lien or equitable interest in property as security for the payment
of a debt.
Structure with a roof supported by columns or walls to serve
as shelter or enclosure.
Any law enforcement officer, building official, zoning officer,
code enforcement officer, fire or building inspector, or other person
authorized by the municipality to enforce the applicable codes.
As used in this chapter, means the presence or finding of
at least two of the following conditions concerning the real property:
overgrown and/or dead vegetation; past due utility notices and/or
disconnected utilities; accumulation of trash junk or debris; abandoned
vehicles auto parts 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, or statements by neighbors, passersby,
delivery agents or government agents; a written statement by a mortgagor
expressing the clear intent of all mortgagors to abandon the property;
the property is occupied by an unauthorized person; the property is
occupied without a valid, unexpired certificate of occupancy or other
written authorization for occupancy as may be required by applicable
laws; the presence of boards over doors, windows or other openings
in violation of applicable code; or any other reasonable indicia of
abandonment.
The legal process by which a mortgagee terminates a mortgagor's
interest in real property either to obtain legal and equitable title
to the real property pledged as security for a debt or to force a
sale of said property to satisfy a debt. For purposes of this chapter,
this process begins upon the service of a summons and complaint on
the mortgagor or any interested party. For purposes of this chapter,
the process is not concluded until the property is sold to a bona
fide purchaser not related to the mortgagee in an arm's-length
transaction whether by Sheriff's sale, private sale following
a Sheriff's sale, or private sale following the vesting of title
in the mortgagee pursuant to a judgment.
A person, or entity holding a mortgage on a property.
A recorded lien or interest in real property to secure payment
of a loan.
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 of record.
A person, or entity that has foreclosed upon a mortgage on
a property but may not have legal or equitable title.
A local property manager, property maintenance company or
similar entity responsible for the maintenance of foreclosure real
property or registerable real property.
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 Borough limits.
A visual inspection to check the minimum requirements as
set forth in the currently applicable International Property Maintenance
Code for sanitary maintenance, life safety, other obvious hazards
and code violations. Such inspections will be done in accordance with
a checklist maintained by the Borough.
Anything constructed or erected the use of which requires
location on or attachment to the ground and includes buildings.
Any parcel of land that contains any building or structure
that is not lawfully occupied.
These sections shall be considered cumulative and not superseding
or subject to any other law or provision for same, but rather shall
be an additional remedy available to the municipality above and beyond
any other state, county or local provisions for same.
Pursuant to the provisions of this chapter, the municipality
or designee shall participate in the county-wide registration program
established by Gloucester County which catalogs each foreclosure property
within the municipality, containing the information required by this
chapter.
A.
Registration of foreclosure real property.
(1)
Any mortgagee that holds a mortgage on real property located with
the municipality of Swedesboro Borough shall perform an inspection
of the property to determine vacancy or occupancy, upon default by
the mortgagor, as evidenced by a foreclosure filing. The mortgagee
shall within 10 days of the inspection, register the property with
the Code Enforcement Department, or designee, on forms or website
access provided by the municipality, and indicate whether the property
is vacant or occupied. A separate registration is required for each
property, whether it is found to be vacant or occupied.
(2)
If the property is occupied but remains in foreclosure, it shall
be inspected by the mortgagee or his designee monthly until 1) the
mortgagor or other party remedies the foreclosure, or 2) it is found
to be vacant or shows evidence of vacancy at which time it is deemed
abandoned, and the mortgagee shall, within 10 days of that inspection,
update the registration to a vacancy status on forms provided by the
municipality.
(3)
Registration pursuant to this section shall contain the name of the
mortgagee and the server, the direct mailing address of the mortgagee
and the server, a direct contact name and telephone number for both
parties, facsimile number and email address for both parties, the
folio or tax number, and the name and twenty-four-hour contact telephone
number of the property management company responsible for the security
and maintenance of the property.
(4)
If the mortgagee is located outside of New Jersey, it must provide
the full name, mailing address, and direct-dial telephone number of
an in-state representative or agent for the mortgagee.
(5)
A nonrefundable annual registration fee in the amount of $500, per
property, shall accompany the registration form or website registration.
(6)
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.
(7)
This section shall also apply to properties that have been the subject
of a foreclosure sale where the title was transferred to the beneficiary
of a mortgage in the foreclosure and any properties transferred under
a deed in lieu of foreclosure/sale.
(8)
Properties subject to this section shall remain under the annual
registration requirement, and the inspection, security and maintenance
requirements of this section as long as they remain in foreclosure.
(9)
Any person or legal entity that has registered a property under this
section must report any change of information contained in the registration
within 10 days of the change.
(10)
Failure to properly register or to modify the registration form
from time to time to reflect a change of circumstances as required
by this section is a violation of the chapter and shall be subject
to enforcement and penalties.
(11)
Pursuant to any administrative or judicial finding and determination
that any property is in violation of this chapter, the municipality
may take the necessary action to ensure compliance and place a lien
on the property for the cost of the work performed to benefit the
property and bring it into compliance. Registration of foreclosure
property does not alleviate the mortgagee from obtaining all required
licenses, permits and inspections required by applicable code or state
statutes.
(12)
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.
(13)
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.
B.
Violations.
(1)
Unless otherwise provided for in this chapter, a violation of this
chapter is declared unlawful.
(a)
Per P.L. 2021, Chapter 444, N.J.S.A. 40:48-2.12s3g(1), an out-of-state creditor subject to an ordinance adopted pursuant to Subsection B(1) of this section found by the Municipal Court of the municipality in which the property subject to the ordinance is located, or by any other court of competent jurisdiction, to be in violation of the requirement to appoint an in-state representative or agent pursuant to the ordinance shall be subject to a fine of $2,500 for each day of the violation. Any fines imposed on a creditor for the failure to appoint an in-state representative or agent shall commence on the day after the ten-day period set forth in paragraph.
(2)
Per P.L. 2021, Chapter 444, N.J.S.A. 40:48-2.12s3g(2), a creditor subject to an ordinance adopted pursuant to Subsection B(1) of this section found by the Municipal Court of the municipality in which the property subject to the ordinance is located, or by any other court of competent jurisdiction, to be in violation, excluding only a violation addressed by Subsection B(1)(a) of this subsection, of the ordinance shall be subject to a fine of $1,500 for each day of the violation. Any fines imposed pursuant to this subsection shall commence 31 days following receipt of the notice of violation, except if the violation presents an imminent risk to public health and safety, in which case any fines shall commence 11 days following receipt of the notice.
All fees applicable to this chapter may be revised by ordinance
of the Borough Council. Registration and inspection fees shall be
paid at the time of submitting the registration affidavit. There may
also be a fee for the filing of any additional or new affidavit, with
such fee being set by resolution of the Borough Council. For properties
that are not registered within the required time frame, an additional
fee for the added cost of the Borough's expenses in having to
determine ownership, which may include, but not be limited to, title
searches, shall be assessed and immediately payable. The payment of
all fees under this chapter is secured by a lien against the property,
which may be placed on the tax roll for collection in the same manner
and subject to the same interest and penalties applicable to delinquent
special assessments.
A.
If the foreclosed upon vacant or abandoned vacant property includes
vacant or unoccupied buildings, the mortgagee or owner of that property
is responsible for immediately obtaining and paying for the Borough's
"safety and maintenance inspection" (as defined herein) of the building
and property, obtaining necessary permits, making required repairs
and obtaining inspections from the Borough annually thereafter until
the building is lawfully occupied, to ensure the buildings are safe,
secured and well maintained. The mortgagee or owner shall demonstrate
that all water, sewer, electrical, gas, HVAC and plumbing systems,
exterior finishes and walls, concrete surfaces, accessory buildings
and structures, swimming pools and spas, roofing, structural systems,
foundation and drainage systems, gutters, doors, windows, driveways,
sidewalks are sound, operational or properly disconnected.
B.
If, at the time of the safety and maintenance inspection, the inspector
deems that the electrical, plumbing or mechanical systems pose health
or safety hazards and require additional inspection by the registered
code official in that discipline, the mortgagee or owner shall be
responsible to obtain and pay for that requested inspection.
C.
If an owner or mortgagee fails or refuses to complete the inspections required by Subsection A of this section, the possessory lender shall be obligated to complete the inspection upon foreclosure of the property. Additionally, any lender who holds a mortgage on the property located within the Borough of Swedesboro shall obtain and pay for the inspection pursuant to Subsection A of this section to the extent permitted by law or under the mortgage, of the property that is the security for the mortgage, within five days after either the filing of a complaint for foreclosure (if foreclosure is by judicial action) or publishing a notice of foreclosure (if foreclosure is by advertisement).
All owners, possessory lenders, and lenders (to the extent permitted
by law or the terms of a mortgage), are responsible for compliance
with the requirements of this section which apply to all vacant property
from the time of vacancy, including the time between vacancy and when
registration is required.
A.
Property shall be kept free from weeds, grass, dry brush, overgrown
brush and dead vegetation in accordance with International Property
Maintenance Code, as well trash, junk, debris, building materials,
and accumulation of newspaper, circulars, flyers, notices, except
those required by federal, state or local law, discarded items, including,
but not limited to, furniture, clothing, large and small appliances,
printed material, signage, containers, equipment, construction materials
or any other items that give the appearance that the property is abandoned.
B.
Property shall be maintained free from graffiti, tagging or similar
markings by removal or painting over with an exterior grade paint
that matches the color of the exterior of the surface.
C.
All front, side and rear yards shall be properly maintained. Landscaping
includes, but is not limited to, grass, ground cover, bushes, trees,
shrubs, hedges or similar plantings. Maintenance includes, but is
not limited to, regular watering, irrigation, cutting, pruning and
mowing of required grasses and landscaping and removal of trimmings.
D.
Pools, spas and other water features shall be kept drained and kept
dry and free from debris. In either case, properties with pools and/or
spas must comply with the minimum security fencing and barrier requirements
of applicable construction, building and property maintenance codes
and ordinances.
E.
Property shall be maintained in a secure manner so as not to be accessible
to unauthorized persons. Secure manner includes, but is not limited
to, the closure and locking of windows, doors, gates, and any other
openings of such size that may allow a child to access the interior
of the property and/or structures. Broken windows must be repaired
or replaced within 30 days. Boarding up of open or broken windows
is prohibited except for temporary measure.
F.
Owners or mortgagees shall inspect or cause the inspection of vacant
property on a regular basis to verify compliance with this section
and other applicable laws. If the property is owned by a person other
than an individual and/or the lender or possessory lender is located
more than 30 miles away, a local property management company shall
be contracted to perform weekly inspections to verify that the requirements
of this section and any other applicable laws are being met. The property
shall be posted with name and twenty-four-hour contact telephone number
of a property management company located within 30 miles of the subject
property. The posting shall be no less than 18 inches by 24 inches
and shall be of a seventy-two-point Arial font and shall contain,
along with the name and twenty-four-hour contact number, the words:
"THIS PROPERTY MANAGED BY AND TO REPORT PROBLEMS OR CONCERNS
CALL." 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 structure facing
the street to the front of the property so that 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 visible from the street
to the front of the property, but not readily accessible to vandals.
The local property management company shall inspect the property on
a regular basis to determine if the property is in compliance with
the requirements of this section.
G.
Failure of the mortgagee or owner to properly maintain the property
may result in a violation of the applicable codes and issuance of
a citation or notice of violation in accordance with the International
Property Maintenance Code and Municipal Code. Pursuant to a finding
and determination by the municipality's Code Enforcement Officer,
and/or designee, the municipality may take the necessary action to
ensure compliance with this section.
H.
In addition to the above, the property is required to be maintained
in accordance with all applicable codes.
If a building is fire damaged, the owner or possessory lender
has 90 days from the date of the fire to apply for a permit to start
construction or demolition. An additional ninety-day extension may
be granted by the Borough, provided the owner or possessory lender
can demonstrate substantial progress towards completing repairs. Failure
to do so will result in the property being deemed vacant and/or abandoned
and subject to the requirements of this chapter.
If the owner, lender or possessory lender has failed to secure
the property and it has been secured by the Borough, the Borough or
its contracted agent, may reenter the structure to conduct necessary
inspections to assure compliance with the requirements of this code
and to determine if there are emergency or hazardous health and safety
conditions in existence.
A vacant building or structure, an abandoned or foreclosed property
shall not be occupied and/or sold until all violations have been corrected
in accordance with the violation or correction notices issued and
a certificate of occupancy has been issued by the Woolwich Township
Construction Office. All mechanical, electrical, plumbing and structural
systems shall be certified by a license contractor as being in good
repair, the provisions of the International Property Maintenance Code,
or its successor, complied with and all blight removed. In addition,
a certificate of occupancy shall not be issued until all outstanding
cost, assessments and/or liens owed to the Borough have been paid
in full.
A.
Any person who violates any provision of this chapter or the rules
and regulations issued hereunder shall be fined not less than $100
and not more than $1,000 for each offense. Every day that a violation
continues shall constitute a separate and distinct offense. Fines
assessed under this chapter shall be recoverable from the owner as
defined herein and shall be a lien on the property.
B.
For purpose of this section, failure to file a registration affidavit
within 30 calendar days after a building becomes vacant property or
within 30 calendar days after assuming ownership of a vacant property,
whichever is later, or within 10 calendar days of receipt of notice
by the Borough, and failure to provide correct information on the
registration affidavit, or failure to comply with the provisions of
this chapter, or such provisions contained herein shall be deemed
to be violations of this chapter.
Any person who opposes, obstructs, or resists any enforcement
officer or any person authorized by the enforcement office in the
discharge of duties as provided in this chapter shall be punishable
as provided in the applicable codes in a court of competent jurisdiction.
Any enforcement officer or any person authorized by the municipality
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 herein.
Registration and penalty fees outline in this chapter may be
modified by an ordinance/resolution, passed and adopted by the Borough
Council of the Borough of Swedesboro.
All resolutions/ordinances or parts thereof in conflict with
the provisions of this chapter are to be the extent of such conflict
hereby repealed.
Should any section, paragraph, sentence, clause, or phrase of
this chapter be declared unconstitutional or invalid for any reason,
the remaining portions of this chapter shall not be affected thereby
and shall remain in full force and effect, and to that end the provisions
of this chapter are hereby declared to be severable.
This chapter shall take effect immediately upon final adoption
and publication by the Borough Council of the Borough of Swedesboro.
