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HomeMy WebLinkAbout2005-25848 Reso RESOLUTION NO. 2005-25848 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING THE SETTLEMENT OF A CITY LIEN ON REAL PROPERTY LOCATED AT 3050 ALTON ROAD, MIAMI BEACH, FLORIDA, OWNED BY NESTOR ALVAREZ TOGETHER WITH NORA REINFELD ALVAREZ, RESULTING FROM SPECIAL MASTER CASE NO. JC990459 AND PROVIDING THAT THE LIEN IN THE AMOUNT OF $325,601.60 PLUS INTEREST BE SETTLED FOR THE AMOUNT OF $5,000.00. WHEREAS, the property located at 3050 Alton Road has accumulated Code fines resulting from Special Master Case No. JC990459 in the amount of $325,601.60 plus interest; and, WHEREAS, in 1998, Ms. Reinfeld contracted with a local builder to complete a 450 square feet addition which consisted of enclosing an existing porch structure to her existing home and anticipated that the contractor would secure the necessary permits for the work in question; and, WHEREAS, in 1999, Ms. Reinfeld was cited for undertaking an addition to her home without a Building Permit; and, WHEREAS, Ms. Reinfeld responded to the City's violation and made diligent efforts to reach her contractor to resolve the Building Penmit question and found out that her contractor had died as a result of cancer; and, WHEREAS, in the time between the citation and 2003 when the fines were stopped by a Special Master action, Ms. Reinfeld remarried and both she and her husband experienced serious medical conditions that both strained their financial resources, as well as precluded their full attention to the process of resolving the property issues; and WHEREAS, as a result of the extreme strain of their financial resources associated with the respective medical conditions, as well as the pending lien in the amount of $325,601.60 on their property, the mortgage holder initiated a foreclosure action; and, WHEREAS, this action is currently pending a refinancing of the mortgage by a new lender that is willing to undertake the refinancing transaction; and WHEREAS, Ms. Reinfeld and her husband offer a very compelling and sincere set of extenuating circumstances, and the Administration recommends that an amount of $5,000.00, to be escrowed as part of the refinancing and conveyed to the City at the time of closing, be approved by the Mayor and City Commission as a settlement amount for the lien associated with 3050 Alton Road; and. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that a settlement for an outstanding City lien at the property located at 3050 Alton Road, in the amount of $325,601.60 is hereby approved (Special Master Case No. JC990459/Code Violation No. ZV981 094, Recorded on February 11, 2003 at Book 21011, Page 4933) is settled for $5,000.00; and further that the City Manager shall be authorized to execute any and all necessary documents to complete such lien r leases and settlement subject to the approval of the Special Master. PASSED and ADOPTED this 16thday f ,2005. ~'t PcAk~ City ClerkF:\cmgr\$ALL \BOB\reinfeldlienmiti3050altonrdreso.doc APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION AIII~A_/~ 3.~o-~ "~ - ~ Ms. Reinfeld remarried and both she and her husband experienced serious medical conditions that both strained their financial resources, as well as precluded their full attention to the process of resolving the issues associated with the property. Out of state care was necessary for some of the medical issues. As a result of the extreme strain on their financial resources associated with the respective medical conditions, as well as the pending lien in the amount of $325,601.60 on the home, the mortgage holder for the property initiated a foreclosure action. This action is currently pending a refinancing of the mortgage by a new lender that is willing to undertake the refinancing transaction. As a further complication, the addition to the home resulted in a permanent structure that is approximately six inches too close to the side property line, thereby necessitating a variance be granted to permit the addition to remain on the property. Ms. Reinfeld has completed the necessary steps to apply for and secure a variance for her property. In preparing for this item and discussing the matter with the Planning staff, when the item is heard later this year by the Planning Board I a positive staff recommendation will be offered in support of the variance. The adjoining property owner also has no objections to the granting of a six inch variance for the addition in question. Ms. Reinfeld and her husband offer a very compelling and sincere set of extenuating circumstances which they have shared fully in reviewing this specific lien file. The Administration has seen the respective medical bills and appointment schedules that both consumed an inordinate amount of Ms. Reinfeld and her husbands time and financial resources, as well as a series of correspondence indicating that in the time that they had, they made very diligent and concerted efforts to comply with the various regulations of the City of Miami Beach in addressing their property. In spite of an extraordinary set of circumstances, Ms. Reinfeld and her husband have negotiated the various permitting and approval processes of the City of Miami Beach and have found a new lender to enable them to refinance their home and reestablish their financial situation. As part of the refinancing, it has been agreed that the settlement amount in this case will be escrowed and conveyed to the City at the time of closing. It is recommended that an amount of $5,000.00 be approved by the City Commission as a settlement amount for the lien associated with 3050 Alton Road and that those funds be escrowed as part of the refinancing associated with this property. Typically work done without a Building Permit has resulted in similar fines, given that other extenuating circumstances exist which clearly are evident in this particular situation. As a variance will still be required to be processed in approximately two months, the lien release is conditioned upon the approval of the variance, which if not granted would necessitate the demolition of a portion of the home in order to be in compliance with City of Miami Beach regulations. The condition of variance approval is listed on the Lien Settlement Resolution such that the refinancing on the property is not withheld and the foreclosure action is therefore also resolved. CITY OF MIAMI BEACH COMMISSION ITEM SUMMARY ~ Condensed Title: A resolution approving the settlement of a City lien on real property located at 3050 Alton Road, Miami Beach, Florida, owned by Nestor Alvarez together with Nora Reinfeld Alvarez, resulting from Special Master Case No. JC990459 and providing that the lien in the amount of $325,601.60 plus interest be settled for the amount of $5,000.00. Issue: Shall the City Commission approve the settlement of a City lien on real property owned by Nestor Alvarez together with Nora Reinfeld Alvarez? Item Summary/Recommendation: In 1998, Ms. Reinfeld contracted with a local builder to complete a 450 square feet addition which consisted of enclosing an existing porch structure and anticipated that the contractor would secure the necessary permits for the work in question. In 1999, Ms. Reinfeld was cited for undertaking an addition to her home at 3050 Alton Road without a Building Permit. Ms. Reinfeld responded to the City's violation and made diligent efforts to reach her contractor to resolve the Building Permit question and found out that her contractor had died as a result from cancer. In the time between the citation and 2003 when the fines were stopped by a Special Master action, Ms. Reinfeld remarried and both she and her husband experienced serious medical conditions that both strained their financial resources, as well as precluded their full attention to the process of resolving the property issues. Out of State care was necessary for some of the medical issues. As a result of the extreme strain on their financial resources associated with the respective medical conditions, as well as the pending lien in the amount of $325,601.60 on the home, the mortgage holder for the property initiated a foreclosure action. This action is currently pending a refinancing ofthe mortgage by a new lender that is willing to undertake the refinancing transaction. Ms. Reinfeld and her husband ofter a very compelling and sincere set of extenuating circumstances, and the Administration recommends that an amount of $5,000.00 be approved by the City Commission as a settlement amount for the lien associated with 3050 Alton Road. The $5,000.00 will be escrowed as part of the refinancing and conveyed to the City at the time of closing. This lien falls into a category of older liens that have been individually addressed and settled over the last few years. There are currently approximately 60 older liens that exceed $100,000 that the Administration is analyzing to determine a more expeditious manner to resolve. The eftort is intended to allow settlement in larger groups rather than piecemeal. A future referral to the Finance and Citywide Projects Committee will most likely be appropriate in liQht of the ootential dollar impact. Advisory Board Recommendation: I N/A Financial Information: Source of Funds: D Finance Dept. City Clerk's Office Legislative Tracking: I Bob Middaugh Si n-Offs: Department Dir F:\cmgr\$ALL \BOB\reinfeldlienmiti3050altonrd-sum.doc AGENDA ITEM C. 7 Q DATE 3-lfo-OS CITY OF MIAMI BEACH CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139 www.miamibeachfl.gov COMMISSION MEMORANDUM From: Mayor David Dermer and Members of the City Commission Jorge M. Gonzale~ City Manage~L. Date: March 16, 2005 To: ~ Subject: A RESOLUTION OF THE MAYOR D CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING THE SETTLEMENT OF A CITY LIEN ON REAL PROPERTY LOCATED AT 3050 ALTON ROAD, MIAMI BEACH, OWNED BY NESTOR ALVAREZ TOGETHER WITH NORA REINFELD ALVAREZ, RESULTING FROM SPECIAL MASTER CASE NO. JC990459 AND PROVIDING THAT THE LIEN IN THE AMOUNT OF $325,601.60 PLUS INTEREST BE SETTLED FOR THE AMOUNT OF $5,000.00. ADMINISTRATION RECOMMENDATION Adopt the Resolution. ANAL YSIS In 1999, Ms. Nora Reinfeld was cited for undertaking an addition to her home at 3050 Alton Road without a Building Permit. From 1999 to 2003, fines ran on the property and now total $325,601.60. Ms. Reinfeld has requested an Administrative review and settlement of the lien amount given extenuating circumstances associated with her property. In 1998, Ms. Reinfeld contracted with a local builder to complete a small addition to her existing home at 3050 Alton Road. The addition was for approximately 450 square feet which largely enclosed an existing porch structure. Ms. Reinfeld anticipated that the building contractor would secure the necessary permits for the work in question. In 1999, with the addition to Ms. Reinfeld's home still uncompleted, a citation for working without a Building Permit was issued for her property. Ms. Reinfeld responded to the City's violation and made diligent efforts to reach her contractor to resolve the Building Permit question. Unfortunately, Ms. Reinfeld was unable to locate her contractor and at the time she believed that he was simply evading her inquiries and responsibility for the project. Subsequently, Ms. Reinfeld learned that the contractor was ill with cancer and died as a result of his illness. Ms. Reinfeld secured a replacement contractor to complete the work on her home and continued to attempt to address the outstanding permit question. In the time between the citation and 2003 when the fines on the home were stopped by a Special Master action, .. This lien falls into a category of older liens that have been individually addressed and settled over the last few years. There are currently approximately 60 older liens that exceed $100,000 that the Administration is analyzing to determine a more expeditious manner to resolve. The effort is intended to allow settlement in larger groups rather than piecemeal. A future referral to the Finance and Citywide Projects Committee will most likely be aR ropriate in light of the potential dollar impact. \sam \BOB\reinfeldlienmiti3050altonrdcomm.doc