HomeMy WebLinkAbout2005 Ordinance No. 032•
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ORD INANCE NO.~
SER IES OF 2005
BY AUTHOR ITY
COUNC IL BILL NO . 32
INTRODUCED BY COUNC IL
MEMBER BRADS HA W
AN ORDI NANCE AUTHOR IZING TH E REDEMPTION AN D SA LE OF A HOUS ING
REHABILITATION PR OPERTY LOCATED AT 3596 SOU TH BANNOCK ST REET
IN THE CITY OF ENG LEWOO D, COLORADO .
WH EREAS , the Cit y Co un cil of th e City of Eng lewood acce pted ass ignment from
th e Englewood Housing Authority of all right s, asse ts and li ab iliti es assoc iated wi th th e
Housin g Rehabilitation Loan Pro gra m by th e pas sa ge of Ordinance No . 23, Series 1999 ;
and
W1-!EREAS, Engl ewood Ci ty Coun ci l auth orize d am cn di11 g Title, 4, Chap ter 3, with
the ad diti on of a new Section 13 ent itl ed "Housin g Rehabilitation Fund" by the passage
of Ord inance No . 26, Series 1999 ; and
WHEREAS, the Englew oo d Housi ng Rehabilit ati on Program was created in I 976 to
preserve tbe existing housin g stock in Englewood and to addre ss the probl ems of low•
income families with the fin anc in g of majo r house hold repair s; and
WH EREA ~. the Reh ab Prog ram ap proves home improvem ent loan s that are se cured
by deeds of tru :;t reco rd ed on th e property represen tin g ge nera ll y second or thi rd
mortga ges ; and
WHEREAS , occas iona ll y homeow ners default on th eir loans and the lien holde r
initiat es the fo reclosu re process by filing the requi re d doc um en ts with the Public
Tru stee 's Office; and
WHEREAS , th e prope rty loca ted at 3596 South Banno ck has a Rehabilitation Loa n
wi th th e City holding a second mortgag ·:; and
WH EREAS, th is property we nt to publi c sa le on March I 6, 2005, and the property
was so ld back to th e fir st mortgagee who initi ated the fo rec los ur e; and
WHEREAS , th e Englewood Rehab Loa n Com mittee was co nsulted at th eir March ,
2005 meet in g and th ey recommend ed tiling the Int ent to Re dee m Noti ce wi th th e
public Trustee 's Office; an d
WHEREAS, th e homeown er fa ile d to redeem the propert y, wi thin th eir 75-day
redemp tio n period; and
WH EREAS, th e Ci ty (th e scca no mortgagee) was no tifi ed late on Jun e I , 2005 of
th e amoun t needed to redee m th e prop erty no later th an June 10, 2005: and
WHEREAS, th e Ci ty redeemed th e property on June J, 2005 and on June 16, 2005
req uest ed th at th e deed be iss ued to th e City of Englewood Housing Rehabilitation Fund ;
and
WHEREAS , the redeemed property loca ted at 3596 So uth Ban nock Street will be
so ld 10 a private ow ner-occu pi ed party who has sec ured hi s own financing and the Ci ty
funds used to purchase th e propert y will be retu rned to th e Housin g Rehabilitati on ,0 und
when thi s property is so ld and 1hc new owners loa n is closed; and
WH EREAS, if an offe r to purchas e is received from any Ci ty employee, their
fa mil y membe rs, or any ~usincss in wnich a City employee ha s a financial int eres t, the
offer will be submitt ed to the Eng lewood City Counci l for approva l;
NOW , THEREFORE, BE IT ORDAINED BY THE CITY COUNC IL OF TH E CITY
OF ENGLEWOOD , COLORA DO , AS FOLLOWS:
~. The Ci ty Cou ncil of the City of Englewood hereb y authori zes the
red empti on and sub seq uent sa le of a Hous in g Rehabilitation Property acquired through
the foreclosure proce ss located at 3596 South Bannoc k Street.
~-The Mayor and the Cit y Clerk arc authorized 10 execut e the proper fo rm
of deed for the conveyance of th e property located at 3596 South Bann ock Street ,
Englewood, Culorado pursu ant to Section 71 of th e Eng lew oo d Cit y Chart er.
Introdu ce d, read in full , and passed on fi rst reading on the l S'h day of July , 2005 .
Published as a Bill fo r an Ordinance on th e 22"' day of July, 2005 .
Read by title and passed on final re ad in g on the 1st day of August, 2005 .
Publi shed by ti tle as Ordinnncc No.~Serics of 2005, on~/ ff August,
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Loucrishia A. Ellis, City Clerk
I, Loucrishia A. Elli s, City Clerk of th e City of Englewood, Co l ado, he reby
certify th at the abov e and foregoing is a tru e cow of the Ordina o passed on final =•;"' •• ~-,;,,,,., ,;,,,_ o,a;~"" N,,,;.'2,s,a ,, ~~ ~
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COUNCIL COMMUNICATION
Dale: Agenda Item: Subject:
July 16, 2005 9 a i Redemption and Sa le of Property acquired
through the Housing Rehabilitation Fund
Initi ated By: I Slaff Source:
Community Developmen t Department Janet Grimmet~ Housing Fin ance Specialist
COU NCIL GOAL ANO PREVIOUS COUNCIL ACTION
Council pass ed Ordinance No . 23 , Series 1999 accepting assignm ent fr om the Englewood Housing
Authority of all rights, assets and liabilities associated with the Housing Rehabilitati on Loan Program,
and also passe d Ordinance Ne,. 26, Series, 1999 amending Title 4, Ch apter 3, by th e addition of a
new Section 13 en titl ed "Housing Reha bilitati on Fund ".
In January and February 2005, Council passe d two ordin~nces approvir.g redemption and sale of
two other properties ac quir ed through the foreclosure pro cebs.
RECOMMENDED ACTION
Commu nity Development staff recommends that Council adopt a Bill ior an Ordi nanc e approving
the rede mption and subse que nt sa le of 3596 South Bann ock Street (a singl e-famil y home) acq uir ed
through the foreclosu re process as defined by Colorado Stale Statutes .
BACKGROUND, ANALYSIS, AND Al TERNA TIVES IDENTIFIED
The Hous ing Rehabilitatior. Program was created in 1976 by th e City of Englewood to preserve the
existing housi ng stock in Englewood, and to also address th e problems th at homeowner:.
expe ri ence with th e financing of major hou sehold improveme nts. TI1 e City Attorney required that
the new Housing Rehab Progr am not be ad minis tere d directly by th e Cit , to avoid any c inflicts
with a State Statute that prohibited any mun icipal government from making loans lo its ci ti zens . It
was decided lo use the Englewood Housing Auth ori ty (E HA) as the co nduit lo manag e and ope rat e
the Pr og ram .
The legal authority to operate and manage th e Rehab Progra m was assigned lo th e City in 1999
through an agreement with the EHA. It was determined at that lime that th e Program and City staff
should be und er th e direct managem ent of th e Community Deve lopment Director. In ord er to
avoid any confli ct with Colorado Stale Statutes, an enterpris e fu nd was crea ted under TABOR
regulations know n as the Hous ing Rehabilit ati on Fund (Fund ). Th e Rehab Program retained its own
funding sources des ignat ed as Fund 45 and Fund 46 th at are used to support lhe operations of the
Program .
A third mortga~ee had filed their own Intent to Redeem notic e with the Public Trustee's Office.
The thir..: mortgagee I ad until June 15, 2005 to act on their Intent to Redeem and wired funds 10
the Public Trustee's Offic e . On )une 16, ii be came known that the third mortgagee did not send
funds . A letter was hand delivered that same day requesting that a Public Trustee's de ed be issu e d
in the name of the City of Englewood-Housing Rehabilitati on Fund .
The redeemed property will be sold to a private owner-occupied party who has secured their own
financing. The funds that were used to redeem the property will be returned 10 the Housing
Rehabilitation Fund 46 when the property is sold . If an offer to purchase the property is received
from any City of Englewood employee, their family members, or any business in which a City
employee has a financial interes~ then staff will submit the offer to the City Council for approval.
FINANC IAL IMPACT
Fund 46 will cover all costs of the redemptio n and the subsequent sale of 3596 South Bannock SL
There are no other financial impacts to the City.
UST OF ATTACHMENTS
Notice of Intention to Redeem and Affidavit e>f Amount Owed
Letter requesting deed for 3596 South Bannock Street
Bill for an Ordinance
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RECEIVED
APR 5 1005
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NO'l'lf.:E OF INTENTION TU llEl>EEM /\Nil Al'FIIJ/\\11'1' 01' /\MOUNT OWED
TUTI IE l'UULICTllUSTEE OFTIIE
______ Cnun ly nf --A.c.a11.a =~---· S1J1cn r Culn1atln,
lnfonn11io n RtGarding Puhlic Tmslcc 's Porcclo!Urc Sile:
lnfonnalion Rc11mfing Riehl to Redeem :
i.:lty o f t:nglcwood-llous Ing Rc ltobili LnL Io n Fund _ Name nf Rcdcmr1inncr
~~~~ 7~~~i;~;od Pkwy, t:n~7ffllTU--J\chlfus 11ml Mmnc No. of Rctlcmplinncr
_,cDce,c,:.J_:o:.,_f_,'1c.:.'r:::u•:..:< ____________ Licn 111 l:ncumhn1ncc Entitling lhc
~-=~=------------Umlcul1:ncd 1nRctJccm•
J une 20, 2003 Da1cufRa•,1ulinglicnorEncumbmnce
~··~•Le•~h~o•~-------------Count)' orHccording _________ ___:cnl"l-"'32:;;!.::.04.:_ ____ Rdcrcncc Nm. ofR«ordcd Ucn
......... "'''""' • .,,,._No
You uc hcrchy nnlirifil thnl the mltl cuignccl intcncb IO mlccm 1hc popcny J.old hy yon al the Public Tmslec'1
Sole lfc.sc1ihcd alwwc. The urkkr1ignc1! i~ cu1i1lc-1I tu 1e1lccm 11., 1hc owner 11f1he lien 11t c11t·m11hr•nce described 11hove,
You 11rc ful1hcr no1ilic1I th:11 lhc .imo11 n1 snwcd nn lhe lien or cncmnhrnncc eviJcnrcd hy the 11 U»chcd ln11rumcnl(s)
arc11sfollow1 :
J.WL'-------r cr Oicm lnlcrcal Arter Ent! of Owner·~ RetJemrci nn l'c rind
I cc11Uy 111111 the ahlwc 11110111111 nic conccl In lhc hcM nr my lmowlcdgc.
Cit y o ( F.ngl<!wom] -
Apr!l S ZOOS
lloueJng Rchnbl lltnt i o n Fund ...
ph JO). 762.2)49
fnx )0).783.6119 5
ll1is arrid:ivil is J ubscrib<-d anti swnm In hdnrc me !Iii~ --5..t,h_ day nf Ape l) , 211.!U_. In
thc ______ County of____Ac3.5UWQ._ _____ • S1ntc ,,f Cnlurntln.
'AIIK~ 1 lnlf ollllrnnttl u,ryut1hr 1tt111,1td 1 .... , ......... r,J ... , "";'""""' nl th• hr11 •llh f•Mlt ntr uf ,n .. dm1 .m,rd .. ,.it,~ .....
1frwJr1 '1 11l1kr ----------~-~--:.=-__ ..:..;:....:!::...
N .. n,. "'"· l ,fJ. HOJirr;or1N1r.HTUl1'1 IIIIIIUIUIAHIIAH"III0·1111rA~IIUINI 1111 111
11,..-...,,1,-,.ii-t,114\Wun \1,11,rur,.l"f!'lll~l -~,, r1~ !\l •t••••"'"'"'""',ar,,N,'""""--•""
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C T y 0 F
COMMUNIT Y
ENGLEWOOD
DEVELOPMENT
Jun e 16, 2005
Arapahoe County Publi c Trustee
2329 W . Main SI , Suite 100
Littleton, CO 801 20
To Whom It May Concern :
As a res ult of redeeming th e Public Tru stee's For eclosur e Sa le No. 0 I 58-2005, p lease iss ue a
Public Tru stee's Deed lo:
City of Engl ewood -Housing Reh abilitati o n Fund
1000 Engl ewood Parkwa y
Englewood, CO 80110-2 3 73
Enclosed is $36.00 lo cove r th e cost o f is suing the D ee d for th e pr operty lo cated at 3596 So uth
Bann ock Stre et, Eng lewood, CO 80 11 0. Please let me know if yo u have any ques ti o ns.
Sincerel y,
~~: .. ~~l pt''"' iu >Ltt
Housing Finance Specia li·t
Enclosure
1000 Englewood Pa rkway Englewood, Co lorado 60110 PHO N E 303 -7 62 -2342 FAX 303 -7 63 -6695
www .englewoo dgov .org
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