HomeMy WebLinkAboutItem 1b - Special Assessment re People v. CorregidorGPyIF0R'N
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DATE: October 7, 2014
TO: Honorable Mayor and City Council
STAFF REPORT
Office of the City Attorney
FROM: Stephen P. Deitsch, City Attorney
Prepared by: Lisa Mussenden, Chief Deputy City Clerk /Records Manager
SUBJECT: SPECIAL ASSESSMENT IN THE AMOUNT OF $41,709.89 TO RECOUP
COSTS AND FEES INCURRED IN THE PROSECUTION OF THE
PEOPLE V. CORREGIDOR NUISANCE ABATEMENT ACTION
Recommendation: Approve
SUMMARY
For several years, Code Enforcement was unsuccessful in working with the property
owners at 226 E. Forest Avenue to address safety concerns at the property. As a
result, the City filed a misdemeanor complaint with the courts to compel the required
corrective measures. Earlier this year, the court found in favor of the City. As such, the
City may now impose a special assessment in an amount equal to the costs incurred
while abating the nuisance in the matter of People v. Corregidor. Such special
assessment may be placed on the county tax rolls and collected along with property and
municipal taxes. The total amount of the assessment will be $41,709.89.
BACKGROUND
In June 2009, the property at 226 E. Forest Avenue was "red tagged" when it was
discovered that the entire attic area was illegally converted into living space. The illegal
space consisted of 3 bedrooms, a landing area, and stairs leading to the attic. After 2
years of unsuccessfully working with the property owners to bring the property into
compliance, staff requested that the City Attorney's office pursue legal action. While
some progress had been made over time, the property owners were ultimately unable to
complete the required work. In February 2011, the City Attorney's office filed a
complaint in court for failing to comply with an order of the Building Official. After
numerous court appearances and an extension granted by the court to allow for the
work to proceed, in July 2013, the entire space was vacated as part of the construction
of a second story on the existing residence. As a result, the City signed off on the
improvements and the case was dismissed.
Special Assessment to Recoup Fees
October 7, 2014
Page 2 of 4
DISCUSSION
The City had been prosecuting a criminal nuisance abatement action known as People
v. Corregidor for several years. During that time, significant legal fees and staff costs
have been incurred. The City Attorney has obtained multiple criminal convictions and
five (5) years of summary probation via plea bargain with Defendants. City staff had
been working with the City Attorney's office to determine the best way to recover fees
and costs where the City was the prevailing party. Based on advice from the City
Attorney's office, staff had elected to seek reimbursement of fees and costs through the
special assessment process set forth in the Arcadia Municipal Code.
The special assessment process allows the City to calculate the amount owed to it by
the property owners and then place an assessment equal to that amount on the county
tax rolls. The assessment is then collected as a special assessment along with property
taxes. Failure to pay the assessment amount results in the same penalties as a failure
to pay property taxes, including possible foreclosure.
The special assessment process is authorized by Government Code § 38773.5(a) and
Arcadia Municipal Code ( "AMC ") Sections 1200(d), 9406.3 — 9406. To issue a special
assessment for a nuisance abatement action, the following process is required and all
steps required to be taken before the special assessment hearing have been followed in
this case:
• A building official must prepare a statement of the expenses incurred which were
"necessary to abate the unlawful condition(s), including inspection and related
(enforcement) costs." This statement must be filed with the City Clerk (AMC
Section 9406.3). The City Attorney's office Summary of Charges is attached as
Exhibit I ". .
• Within 10 days of the statement being filed, the City Clerk must notify the
property owners of the special assessment by certified mail. The notice must
follow the form described at AMC Section 9406.4. The notice provides
information related to a hearing regarding the special assessment, where the
owners may object. The hearing is held by the City Council, which sits as the
Board of Equalization.
• The Board of Equalization hearing must be held at the first regular meeting of the
City Council after the expiration of 10 days following the date of service of the
notice of special assessment (AMC Section 9406.5).
Special Assessment to Recoup Fees
October 7, 2014
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• At the hearing, the Board of Equalization may modify the assessment proposed
by the Planning Division if it determines the proposed assessment is excessive
or otherwise incorrect. At the conclusion of the hearing, the Board of Equalization
confirms or modifies the special assessment amount and the amount becomes a
lien against the property (AMC Section 9406.5).
• The Administrative Services Director then must send the property owners a bill
for the approved assessment amount. The property owners have 30 days to pay
the bill. If they do not, the Administrative Services Director must send the
assessment to the County Assessor and Tax Collector for inclusion on the tax
rolls (AMC Section 9406.5).
• The special assessment can then be billed and collected in the same manner as
property taxes. Failure to pay the assessment results in the same penalties and
procedures as failure to pay property taxes or other municipal taxes. For
example, failure to pay the assessment can result in foreclosure and compulsory
sale of the property (AMC Section 9406.4, 9406.6).
In calculating the assessment amount, the Planning Division has taken into account the
actual inspection, enforcement, and administrative costs incurred by the City, including
detailed billing provided by the City Attorney's office regarding attorney fees and costs
expended in the enforcement action. The administrative costs include inspection costs
and the costs associated with building officials' time expended in achieving abatement
of the nuisance. A summary of the administrative costs totaling $41,709.89 is itemized
below:
Summary of Nuisance Abatement Costs
City Attorney Office Charges $40,685.56
Development Services Charges $ 1,024.33
Total $41,709.89
FISCAL IMPACT
Approval of the assessment will enable the City to recover the costs and fees incurred
in the prosecution of this matter totals $41,709.89.
Special Assessment to Recoup Fees
October 7, 2014
Page 4 of 4
RECOMMENDATION
It is recommended the City Council approve the special assessment in the amount of
$41,709.89 to recoup costs and fees incurred in the prosecution of the People v.
Corregidor nuisance abatement action.
Approved,
Dominic Laz�areft�
City Manager