As used in this chapter, the following terms
shall have the meanings indicated:
CITY-OWNED REAL ESTATE
Encompasses all property acquired and held by the City of
Lackawanna for use of the City as an entity and that acquired and
held for public use and benefit of its citizens.
[Amended 9-5-2017]
The City Council shall determine what City-owned real estate
is no longer required for public use by the City.
Where title to the real estate proposed to be
sold was acquired by the City for a public purpose, including streets,
parks, playgrounds, public recreation buildings or areas and all other
public places, prior authorization of the State Legislature for its
sale is required.
After state legislative approval, the sale of City-owned real estate as described in §
12-4 above, the City may provide for its sale to the highest responsible bidder at public auction by sealed bids after advertisement at least once each week for three weeks in its official newspaper or other newspaper. The notice of public sale shall contain a statement of the time and place where all bids received in pursuance thereof will be publicly opened and read, and pursuant to said notice, all bids received shall be publicly opened and read at the time and place so specified.
[Amended 9-5-2017]
The sale of all other real property purchased or held by the City for its use as distinguished from that described in §
12-4 above, and including real property acquired by tax sale or foreclosure may be sold by private sale.
Procedure for the sale of other real property
purchased or held by the City for its use as a corporate entity shall
be as follows:
A. The purpose of providing for the sale of property
under this section is to restore real property to the tax rolls to
be revenue producing.
B. The legislative act required by the City to sell its
real property hereunder is by an ordinance duly enacted and passed
by the City Council.
C. The
City Council shall be provided a list of real property described herein
available for private sale.
[Amended 9-5-2017]
D. The
City Assessor shall maintain and revise this list annually and by
June 1 of each year send to the Council its revised list.
[Amended 9-5-2017]
E. The
real property included on the list shall be made available for private
sale, and the public may make an offer to purchase the same. The City
Clerk may, from time to time, advertise in the City's official
newspaper and/or in other newspapers a brief tax description of City
property available for private sale and inviting the public to offer
to purchase same.
[Amended 9-5-2017]
F. The offer to purchase said property shall be made
in writing on a form prescribed by the City Assessor and presented
by the offeror to the City Assessor's office.
G. The City Assessor shall, within 10 days of its receipt,
forward all offers to the City Council with the City Assessor's recommendation
to sell or to receive and file the offer.
H. Upon receipt by the Council of the offer to purchase
with the City Assessor's recommendation, the Council may:
(1) Receive or file any offer;
(3) Authorize and direct the City Assessor to advertise
the property for sale and proceed to sell the property at public auction,
subject to approval of the Council, which may accept or reject all
bids received.
Procedure for the sale of real property by the
City by public auction shall be as follows: Sales at public auction
shall be conducted by the City Assessor as the agent of the Council,
upon the terms and conditions as set forth herein, and he or she shall
fix the time and place of such sales. All sales ordered by the Council
shall be publicly advertised in the official newspaper by display
advertisement once a week before the date of sale in such newspaper.
The City Assessor shall report to the Council
the best offer or highest bid made for the property. Upon consideration
of such report by the Council, it may approve the same and the City
and the purchaser shall thereupon be bound by the terms thereof. It
is the purpose of the Council to honor the highest bid made at public
auction and effect a sale of the property to the highest bidder. Informal
bids of a higher amount made for any parcel sold at a public auction,
after the auction sale, will not be recognized or considered.
The City Assessor shall contact the various
City Departments, such as Recreation, Public Works, Sewage, Development,
etc., as to their need for municipal purposes, either at present or
future, for property in question. All replies are to be returned to
the City Assessor within 10 days of the request. The absence of reply
shall indicate no interest. The Assessor shall include a report on
this in its recommendation to the Council.
All sales shall be made subject to the following:
A. At each public auction, the real property offered
for sale shall be struck down to the highest bidder therefor, who
must, by 4:00 p.m. in the afternoon of the same day, deposit with
the Treasurer a minimum sum equal to 20% of the sum bid. Each purchaser
at the time of the said sale shall sign a memorandum of his or her
purchase, agreeing to comply with the terms and conditions herein
contained. Notwithstanding the foregoing, the sale shall be subject
to final approval by the Council of the City of Lackawanna.
B. The bidding will be kept open after the property is
struck down and upon the failure of the purchaser to comply with the
terms of the sale, said property shall be offered to unsuccessful
bidders on said property in the descending order of their bids.
C. Within 15 days of the sale of said property, the City
Attorney or a member of his or her staff shall prepare a contract
with the purchaser embodying the terms and conditions herein.
D. Said transaction shall be closed within 45 days of
the sale of said property; provided, however, extensions of time for
the closing may be granted by the City Attorney only if the purchaser
is prevented from closing on the due date by circumstances not attributable
to him or her. Whenever an extension of time is granted, the City
Attorney shall certify to the Council that an extension, not to exceed
30 days, will not prejudice the interest of the City, and upon the
filing of such certificate with the Council, the time limited for
the closing of the sale shall be extended to the date fixed by such
certificate of the City Attorney. Successive extension of time may
be given by the City Attorney but no extension of time shall be for
a period longer than 30 days. If the purchaser shall fail to pay the
balance of the purchase price and accept and record the deed upon
the closing date, his or her deposit will be forfeited and the property
resold.
E. The balance of the bid price shall be paid in full
in cash or by certified check, payable to the City of Lackawanna,
upon delivery of the deed.
F. The City shall not furnish tax and title searches
or surveys covering said premises. If any purchaser desires any tax
and title searches, surveys and/or policies of title insurance, the
purchaser may obtain them at such purchaser's own expense and upon
request, the City shall furnish the purchaser with a legal description
of the property to be sold.
G. At the time of closing, hereinafter provided for,
the City shall tender to the purchaser a quit claim deed.
H. The purchaser shall pay the mortgage tax imposed on
any purchase money mortgage given in connection with the purchase
and the recording fee therefor, and shall also pay the tax, if any,
imposed on the deed.
I. The purchaser shall have possession of said premises
from the date of the delivery of the deed, subject to existing tenancies,
if any.
J. Rentals, county and City taxes and sewer rentals shall
be prorated and adjusted as of the date of delivery of the deed.
K. The sale shall be closed, the payments made and the
deed shall be delivered at the office of the City Attorney within
45 days from the effective date of the resolution of the Council approving
the sale of the premises.
L. The approval by the Council of the bid made at public
auction and the terms of sale reported to it, or an offer to purchase
property from the City at private sale and the terms of sale reported
to it, shall constitute a valid and binding contract and shall inure
to the benefit of the City and the purchaser, his or her heirs, distributees,
executors, administrators, successors and assigns. The bid at public
auction or offer to purchase and the terms of sale reported with either
said bid or offer shall constitute the entire agreement between the
parties thereto relating to said sale and purchase, and shall supersede
all prior or other agreements and representations in connection with
said sale and purchase.
M. All sales, pursuant to this resolution, shall be closed
in the Erie County Clerk's Office by an employee of the City Attorney's
office whose duty it shall be to demand that the purchaser immediately
record the deed given by the City and said employee shall refuse to
deliver a deed to any purchaser who shall not record the deed at the
time of closing.