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AGENDA REPORT
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| | | | | | | | DATE:
| July 21, 2020
| TO:
| Mayor and City Council
| FROM:
| Stefan T. Chatwin, City Manager 
| | SUBJECT: | Resolution 2020-147 of the City Council of the City of Fairfield Authorizing the City Manager to Approve and Execute the Cancellation and Return of a Special Assessment |
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| | | | | | | | | RECOMMENDED ACTION | | Adopt resolution. |
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| | | | | | | | | STATEMENT OF ISSUE | | The City Council is being asked to authorize the cancellation and return of a special assessment to the Solano County Tax Assessor in the amount of $49,170.80 against property located at 274 Daphne Drive, currently owned by Mrs. Marsha Amster, 77, and instruct staff to instead place a lien against the property in the same amount. This request is being made to avoid financial distress and possible displacement of Mrs. Amster from her home at 274 Daphne Drive. |
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| | | | | | | | | DISCUSSION | In 2012, City Code Enforcement started code enforcement proceedings at 274 Daphne Drive. At the time of this Code Enforcement case, the married property owners, Mr. Robert Gayer and Mrs. Marsha Amster, were in their 70s and in ill health.
On October 29, 2012, Code Enforcement staff inspected the property and found several significant code violations. These violations were deemed to be Mr. Gayer’s responsibility and caused by his predilection for hoarding. Mrs. Amster was not found to be responsible for the violations.
Within 20 days of the first inspection, Mr.Gayer began receiving citations. Within fairly short order, considering their financial means and ability to comply, Code Enforcement began pursuing an abatement warrant. Once served and executed, the cost of the abatement action was determined to be $49,170.80.
On May 20, 2014, after numerous attempts to collect the cost of abatement, the City Council approved a resolution placing the $49,170.80 on the property tax roll as a special assessment at 10% interest. The amount was to be added to the property tax payments made by Mr. Gayer and Mrs. Amster, with a “power to sell” provision vested with the County if the assessment was not paid in five years’ time.
In 2016, Mr. Gayer passed away from his numerous health issues, leaving Mrs. Amster as the sole owner of 274 Daphne Drive. Living on a fixed social security income, confined to a wheelchair, and facing numerous health issues, Mrs. Amster was unable to keep up with interest payments of $710.00 a month, let alone the principle.
Earlier this year, Mrs. Amster became aware that the “power to sell” provision would become active on June 30, 2020. After discussing various solutions with County Tax Assessor employees, Mrs. Amster met with City staff to avoid the loss of her property. The special assessment was levied against the property at 274 Daphne Drive pursuant to FMC 27.1002. However, FMC 27.1004 provides:
“As an alternative to imposing the cost of abatement as a special assessment, the City may impose the cost of abatement as a lien on the real property pursuant to Government Code Section 38773.1.”
The advantage of a lien in this situation is that collection of the City’s $49,170.80 could still take place, but only when Mrs. Amster sells the home. The “power to sell” through the special assessment property tax would be lifted from the property at 274 Daphne Drive, allowing Mrs. Amster’s to remain in the home free from the fear of losing her home and being displaced.
While there is a danger that a judgment lien such as this would be placed in a junior position to a home mortgage lien, Staff has researched the title history of 274 Daphne Drive and found the Mrs. Amster owns the home free and clear of any home mortgage liens.
Converting the special assessment to a lien in this situation is consistent with the legislative intent of the City’s nuisance abatement policy. Code Enforcement’s position is that the special assessment represented an unfair financial burden and punishment.
FMC 27.103 (emphasis added) states:
(1) The purpose of enforcing this chapter is to gain compliance with the community standards which are set forth in this chapter. Punishing the people who violate the ordinance is not the purpose of enforcing this ordinance.
(2) The purpose of enforcing this ordinance is to encourage people to maintain their property in a safe and sanitary manner and in a manner which respects the property rights of their neighbors. Imposing unfair financial burdens on people who violate the ordinance is not the purpose of enforcing the ordinance.
(4) Maintaining decent, safe and sanitary affordable housing is an important community goal which at all times must be balanced against the goals of this community preservation ordinance.
Finally, FMC 27.102 notes:
(e) Providing and maintaining safe, sanitary and habitable affordable housing in the City of Fairfield is an important community goal. It is not the intent of this community preservation ordinance to interfere with the goal of maintaining an adequate affordable housing supply.
In this matter, keeping the special assessment in place would constitute a harsh punishment and an unfair financial burden at this point in Mrs. Amster’s life, especially considering that she was not the person primarily responsible for the code enforcement violations back in 2014. Furthermore, allowing Mrs. Amster to stay in her home would achieve the law’s stated goal of preserving adequate affordable housing for Mrs. Amster.
For all of the above reasons, it is requested that the City Council approve the attached resolution cancelling the special assessment placed on 274 Daphne Drive, and return the $49,170.80 to the County Tax Assessor, and further direct City Staff to attach a lien against the property at 274 Daphne Drive in the amount of $49,170.80 as soon as possible.
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| | | | | | | | | FINANCIAL IMPACT | | The cost of the code enforcement action, $49,170.80 would be returned to the Solano County Tax Assessor. That amount has been sitting in a special account since received from the county in 2014, so there would be no impact to the general operating fund. By placing a lien on the property at 274 Daphne Drive in the amount of $49,170.80, the City will recoup that amount when the home is eventually sold to a new owner at a time when Mrs. Amster no longer needs it as her home. |
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| | | | | | | | | CITY COUNCIL WORKPLAN | Community Safety
| Community Infrastructure | Quality of Life | | Financial and Operational Sustainability | Economic Development | Travis Air Force Base |
| City Council Goal this item supports:
Community Safety, Quality of Life |
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| | | | | | | | | PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION | N/A
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| | | | | | | | | ALTERNATIVE ACTION | | Decline to authorize the cancellation and return of a special assessment to the Solano County Tax Assessor in the amount of $49,170.80. |
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| | | | | | | | | STAFF CONTACT | Jeremy Profitt, Police Support Manager
(707) 428-7709
jprofitt@fairfield.ca.gov
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| | | | | | | | | COORDINATED WITH | City Attorney's Office; Solano County Tax Assessor
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| REVIEWERS: | | Reviewer | Action | Date | | Pariera, Fabrienne | Approved | 7/13/2020 - 7:20 PM | | Alexander, Amber | Approved | 7/13/2020 - 4:33 PM |
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