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05-671City of St. Paul RESOLIITION RAT2FYING COUNC FILE 0. � lD� By �it File No. SEE BELOW Assessment No_ SEE BELOW Voting Ward In the matter of the assessment of benefits, cost and expenses for J0502B (8087) Boarding-up of vacant property during the month of March 2005. A public hearing having been had upon the assessment for the above improvement, and said assessment havinq been further considered by the Council, and having been considered finally satisfactory, therefore, be it RESOLVED, That the said assessment be and the same is hereby in all respects ratified. RESOLVED FURTBER, That the said assessment be and it is hereby determined to be payable in One equal installments. Adopted by the Council Date: l/i�/�i��.� �5 Passed by the Council Secretary City of St. Paul Real Estate Division Dept. of Technology & Maaagement 5erv. COUNCIL FILE N0. �_ ��, REPORT OF COMPLETION OF ASSESSMENT File No. SEE BELOW Assessment No. SEE BELOW Voting Ward In the matter of the assessment of benefits, cost and e�spenses for J0502B (8087) Boarding-up of vacant property during the month of March 2005. To the Council of the City of St. Paul The Valuation and Assessment Engineer hereby reports to the Council the following as a statement of the eapenditures necessarily incurred for and in connection with the making of the above improvement, viz: Total costs $5,333.00 Code Enforcement Service Fee $ 950.00 Real Estate Service Fee $ 380.00 TOTAL EXPENDITURES Charge To Net Assessment $6,663.00 $6,663.00 Said Valuation and Assessment Engineer further reports that he has assessed and levied the total amount as above ascertained, to-wit: the sum of �6,663.00upon each and every lot, part or parcel of land deemed benefitted by the said improvement, and in the case of each lot, part or parcel of land in accordance with the benefits conferred thereon; that the said assessment has been completed, and that hereto attached, identified by the signature of the said Valuation and Assessment Engineer, and made a part hereof, is the said assessment as completed by him, and which is herewith submitted to the Council for such action thereon as may be considered proper. GE s _ Dated j �a7-D5� %�.`� � � y�p�.Va uation and Assessment Engineer ��. -- - 7-2d-D� �� .� 5,a.� 05 � Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet � L- �. - �-D5 05 o5-L,�1 DeparhnenNoffice/council: i Date Initiated: : ' Pw -�b� «w«� i Z��Y� ; Green Sheet NO: 3026616 _ _ � _ . � ContaM Person 8 Phone: -' Bruce Engeibrekt i ' 1 �� I .45sign ' Must Be on Council Agenda by (Datej: � Number OS-JUN-0S ; For Routing � Order ContractType; OT-0lHER (DOESNT FR ANY CAIEGORY) 0 PubticWorks i BruceEneelbrekt 1 Coundl Marv Erickson 2 Citv Clerk � Total#ofSignaturePages,(CIipNlLowtionsforSignature) �' � Action Requested: ,, Set date of public heacing and approve assmts for Boazding-up of vacant property during Mazch 2005. File No. J0502B , idations: Appm�e (A) or R Planning Commission CIB Committee Ciul Senice Commission (R): Mswerthe Following Questions: � 1. Has this personlfirm e�er worked ufMer a contract for this department? Yes No � 2. Has this persoNfirm e�.er been a city employee? I Yes No I 3. Does this persoNfirtn possess a skil� not normally possessed by any curtent cfty employee? � Yes No i Explain all yes answers o� separate sheet and attach to green sheet initiating Problem, issues, Opportunity t1Nho, What, When, Where, Why): ,, Property owners or renters create a health hazard at various times throughout the City of Saint Paul when their propeRy is not kept up. ', The City is required by City code to clean up the property and chazge the property owner for the cos[ of the clean up. '', AdvantaSles NApproved: ' Cost recovery programs to recover expenses for summary abatements, grass cutting towing of abandoned vehicles, demolitions, garbage hauling and boazdings-up. DisadvantaSles HApproved: None � DisadvanWgeslfNotApproved: � If Council does not app�ove these chazges, general fund would be required to pay the assessment. �otai Amount of $6,663 Transaction: FundinA Source: Activity Number. Financia l Infortnation: (Explain) 19 property owners will be notified of the public hearing and charges. CosVRevenue BudgeMd: E�4_�:':� "n,�^'�2r?'!± �`QS?}aP 3iA� 2 °7 2005 /D.'!0 P/I7 May 27, 2005 ?z'r=."r,=-io"� . 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Resolution ordering the owner to remove or repair the building(s) at 1002 Matilda Street. If the owner fails to comply with the resolution, Neighborhood Housing and Property Improvement is ordered to remove the building. The following appeared: Claude Worrell, Remax Results, 1035 Cedar Lake Road, Minneapolis, appeared and stated he is representing Homecomings which acquired title through foreclosure. Steve Magner gave a staff report as follows: This building has been vacant since 12-29-04. The current owner is Chase Financial. There have been four suminary abatement notices issued for snow and ice removal, tall grass and weeds, and for an unsecured building. On 12-29-04, an inspection of the building was conducted, a list of deficiencies which constitute a nuisance condition was developed, and photographs were taken. An Order to Abate a Nuisance building was issued on 3-28-OS with a corrected notice sent on 3-30-OS with a compliance date of 4-15- O5. As of this date, this property remains in a condition which comprises a nuisance as defined by the legislative code. The Vacant Building Registration Fees were paid by Claude A. Worrell, on 5-6-05. Real estate taxes aze current. Taxation has placed an estimated market value of $34,700 on the land and $94,600 on the building. As of 7-5-05, a Code Compliance Inspection has not been scheduled. As of 7-5-05, a$2,000 bond has not been posted. Code Enforcement Officers estimate the cost to repair this stnxcture is $50,000. The estimated cost to demolish is $8,000 to $10,000. The building was originally owned by an investor who did some rehabilitation, said Mr. Magner. Somewhere it developed a water leak which created a situation where the northside foundation collapsed. The rest of the siructure is in decent condition. Mr. Worrell stated the redemption expired in Mazch. That is when he requested copies of work orders. They inspected the property and found its condition. They got copies of the work orders plus corrected copies. Ms. Moermond asked for his clienYs name. Mr. Wonell responded JP Morgan is the mortgage servicer for the holder of the mortgage, which is Homecomings. They have seen photographs, MINUTES OF THE LEGISLATIVE HEARING OF JULY 5, 2005 � �2�5 l� ��ag 2� � work orders, and a recommendation from Mr. Worrell that the building was salvageable. They put it on the mazket for an "as is" grice. They aze in the process of engaging a azckutect to fix the foundation. Once they have the design, they will put it out to bid. Mr. Worrell has submitted a bid from one engineer for the design. "Ihe sheriffls sale would have been six months before he got involved. Ms. Moermond asked has Mr. Magner requested access to the building. Mr. VJonell responded he can have access anytime. There is a lock box. Mr_ Magner added that they will need a Code Compliauce Inspecrion on the property. Most likely, Jim Seeger (License, Inspections, Environmental Protection) will require a structural engineer's report on the foundarion. Mr. Magner received a phone call last week from an engineering firm. Ms. Wonell stated they are proceeding, although Homecomings is slower than he would like. They did a truth-in-sale of housing report. They aze trying to keep it safe. Ms. Moermond asked will Homecomings fix it or sell it. Mr. Wonell responded they plan to fix it themselves. Ms. Moermond recommends that the Council grant 180 days to complete the rehabilitation of the property on condition that the following is completed by noon of July 20, 2005: 1) a Code Compliance Inspection Report, 2) a$2,000 bond is posted, 3) a work plan is submitted indicating how and when all the items on the Code Compliance Inspection Report will be addressed, 4) a fmanciai plan is submitted indicating the wherewithal to complete the work on the Code Compliance Inspection Report. Summary Abatements: JQ502B Boarding up of vacant properties during March 2005 1008 Farrinaton Avenue Lois Jacobs, owner, 525 S. Lexington Parkway, appeared. Ms. Moermond recommends laying over this issue over to July 19, as the file was not available on this property. 1265 Stanford Avenue (Note: there are two issues involving this address. There is a resolution to remove or repair later in the hearing.) Ms. Moermond stated the assessment is $401 for the boarding of buildings. Mr. Huot responded that Mr. Weinhold is paying all the assessments. Her clients never went to the house after it was boarded up and did not give pernussion for the coxning and going at that proper[y, except for Mr. Weinhold and one other person. Mr. Weiss responded there aze about $10,000 in assessments. Ms. Moermond recommends approval of the assessment. 05-�7/ MINUTES OF THE LEGISLATIVE HEARING OF JULY 5, 2005 Page 3 Resolufion ordering the owner to remove or repair the building(s) at 332 St. Clair Avenue. If the owner fails to comply with the resolution, Neighborhood Housing and Property Improvement is ordered to remove the building. Aurelia Tessmer, owner, Loren WisetU, neighbor, appeazed Steve Magner gave a stafFreport: The building was condemned on 10-12-04 by NHPI and has been vacant since 10-25-04. The current owner is Walter G. Tessmer. There have been no summary abatement notices issued. On 4-27-05, an inspection of the building was conducted, a Iist of deficiencies which constitute a nuisance condition was developed, and photographs were taken. An Order to Abate a Nuisance Building was issued on 5-4-OS with a compliance date of 6-3-05. As of this date, this property remains in a condition which comprises a nuisance as defined by the legislative code. The vacant building fees were paid by Aurelia Tessmer on 5-26- O5. Real estate taaces are unpaid in the amount of $2,158.80. T�ation has placed an estimated mazket value of $31,500 on the land and $124,900 on the building. On 6-2-05, LIEP completed a Code Compliance Inspection report. On 6-29-05, a$2,000 bond has been posted with LIEP. Code Enforcement Officers estimated the cost to repair is $80,000 to $90,000. The estimated cost to demolish is $7,000 to $8,000. Ms. Moermond asked Ms. Tessmer who is Walter Tessmer (listed as fee owner) in relationship to her. Ms. Tessmer responded her dad. This was taken to probate and should have been completed. She will haue to check into this. She has three contractors ready to repair it. She is bonowing money to finance this. In answer to a question about taxes, Ms. Tessmer responded she paid the current hal£ She is not aware of previous taxes. Ms. Moermond recommends granting the ov�mer 180 days to complete the rehabilitation on the property on condirion that the following is done by noon of July 20, 2005: 1) a wark plan submitted indicating how and when all the items on the Code Compliance Inspection Report will be completed, 2) a financial plan which demonstrates the capacity to pay the contractors for the work to be done, 3) taxes brought and up to date. If the property is being sold, she would like to see a purchase agreement. Laid over summary abatement: J0407E E%cessive Consumption of Inspection Services at 277 Winifred Street East. (Note: Lisa Sindt, CSD of Minnesota, was hired by the City to provide American Sign Language interpretation.) The following appeared: Terry Curtin, owner, Rosana Plaza, friend Steve Magner stated that on Rebruary, an inspector was at 277 Winifred and issued a Correction Notice 2-14-05 with a compliance date of 2-15-05. �-�� MINUTES OF THE LEGISLATIVE HEARING OF JULY 5, 2005 Page 4 Ms. Moermond asked why the compliance date was so fast. Mr. Magner responded that was an enor. When the inspector found the error, a Correction Notice was reissued dated 3-17-05. It was mailed to the properCy giving the owner unti14-14-0� to remove or properly license the vehicle. Ms. Moermond statsd the new Correction Order had a compliance date of 4-14-OS and there still were not current tabs. She asked was there a new inspection done to coufirni that. Mr. Magner responded the orders were reissued as there was no compliance. On 4-14-05, the vehicle was noncompliant, a photograph was taken, and an excessive consumption letter was sent out indicating there was noncompliance and a reinspection was going to be made. If that was not in compliance, there would be a second charge. They also indicated they had 30 days to pay the $50 Excessive Consumption for noncompliance. The vehicle was gone on 5-2-05. (A photograph was shown to Ms. Moermond and Ms. Curtin.) Through the interpreter, Ms. Curtin stated she got a letter in the mail. No one answered on the TTY. There was no way to contact anyone. She wishes someone would haue come to the door to explain. Ms. Moermond asked did they receive the notice. Ms. Curtin responded she is not sure. Nothing was explained very cleazly. They got something, but they are not sure which one it was. She was not sure what they were coming to court for. Also, they thought it was okay to park on that property. As for the license tabs, they knew they could not use the car. They were waiting for someone to repair it. Someone did come to take it away. Ms. Moermond stated this tax assessment is $70 and they are charging for the cost of sending an inspector out when the inspector didn't see that the situation was rectified. It would appear that at least two letters were sent Ms. Curtin responded she did try to call through the TTY. If they explained to her on the phone she would have known. Now it is clear what they are here for. Ms. Moermond stated there is a handbook about neighbarhood nuisance situations. Oftentimes, people don't know how to store things. She will talk to the Mayor's Office about why the TTY line is not worldng. Ms. Moermond recommends deleting the assessment because the TTY was appazentiy not working. Resolution ordering the owner to remove or repair the building(s) at 1265 Stanford Street. If the owner fails to comply with the resolution, Neighborhood Housing and Property Improvement is ordered to remove the building. (Note: there are two issues involving this property. There is also an assessment earlier in the hearing.) The following appeazed: Mary Huot, attorney, Tammy Head, and Teny Head, co-owners. � -!� 7 MINUTES OF THE LEGISLATIVE HEARING OF JULY 5, 2005 Page 5 Steve Magner reported the following: The building was condemned on 3-24-OS by Dick Lippert and has been vacant since 3-28-05. The current owners aze Stanley E. and Betty M. Aead per Rasnsey County Property Records and AMANDA. Tawmy and Terri Head, the daughters of the owners, plan to probate the properiy to obtain cleaz title. There have been six sun�ary abatement notices issued for removal of debris, clean out home of waste, feces, rotting food, gazbage, cut tall grass, remove dead mice from yard and house. On 5-4-05, an inspection of the building was conducted, a list of deficiencies which constitute a nuisance conditions as developed, and photographs were taken. An Order to Abate a Nuisance Building was issued on 5-5-OS with a compliance date of 6-6-05. As of this date, the property remains in a condition which comprises a nuisance as defined by the legislative code. The City has had to board this building to secure it against trespass. The 2005 Vacant Building Registration fees are due. Real Estate taxes are unpaid of $1,036.87. TaYation has placed an estimated market value of $76,500 on the land and $128,600 on the building. On 4-27-05, a Code Compliance Inspection was done. As of 7-5-05, the $2,000 bond has not been posted. Code Enforcement Officers estimate the cost to repair is $75,000 to $100,000. The estimated cost to demolish is $8,000 to $9,000. Ms. Moermond asked the period of time for the suminary abatement orders. Mr. Magner responded March 2005 to the present. Mary Huot stated Mr. Weinhold is ready to rehabilitate the property immediately. Ted KronscYulabel, 1261 Stanfard Avenue, appeared and stated he lives adjacent to 1265 Stanford. He does not have a problem with them selling the property. He has a newborn child. Tn the house, there is waste dust from rodents and 'ansects. He has had to hire pest control to control his property. The air quality of the remodeling is a serious concem. There is capture and control equipment that is available for sanding and cutting. He would hope the City Council would enfarce this so materials will not come out into the neighborhood. He would like to see that all work is done by professionals and licensed people. It would be beneficial that someone have a proven track record in Saint Paul. Also, he would like to see the building boarded better. Peopie have left the doors off and he has put them back on himself. There are recently more rats in the neighborhood probably because the doors were le$ off at night. He would like it kept more secure. The following appeared: Julie Matson and Mazy Kay Claridge, both of 1258 Stanford Avenue. Ms. Matson stated she walks the dog everyday several rimes so she sees the house as she goes by. The unsecured doors have been a concern. In the middle of the night, there was knocking going on inside the house as if someone was pounding. The police came out but whoever or whatever was making the noise, managed to get out. Ms. Claridge has lung disease, so they echo the concerns about dust and waste. They support the sale and rehabilitation of the dwelling. They would like the job done by professionals with safety precaution. There are many young children in the neighborhood. Ms. Claridge stated she sent a letter in May. Ms. Matson stated she would like the last sentence deleted from that letter because the properiy is going to be sold. Ms. Moermond responded she will do a strikeout and date it today. aS-!o 7 I MINUTES OF THE LEGISLATIVE HEARING OF JULY 5, 2005 Page 6 Ms. Moermond stated she saw the pmbate norice, which was in the paper. The fmal thing needed is a purchase agreement. She asked aze these the people (Weinhold and Weiss} the Heads aze selIing to. The Heads responded yes. The following appeazed: Amold (Arnie) Weinhold, Weinhold Investments/LLC, and Phillip Weiss. Ms. Moermond stated taYes aze due. She asked has the purchase agreement been signed. Mr. Huot responded it has been signed, but the money has not been exchanged. Ms. Moermond stated she needs a copy of the purchase agreement by noon of July 20. She needs to see how they aze going to finance this. Mr. Weinhold responded he will show the court cash funds available in a bank account to pay for this. In the next few days, they will pay the Heads off completely, which will be shown through a title policy. Ms. Moermond responded she is anticipating that $'I5,000 to $100,000 is a reasonable estimate for the rehabilitation. Ms. Moermond said , a bond has not been completed. She asked can the rehabilitation be done in six months. Mr . Weinhold responded he wiil be at the 50% or better mark in six months. It is tmlmown what will happen with the weather. Ms. Moermond responded that Jnn Seeger (LIEP) wiil be managing this because this is a dangerous vacant building. He has the discretion to grant another 180 days if it is 50% done at 180 days. Ms. Moerxnond asked who they aze going to use as their subcontractors, as she would like to see that in the work plan. Mr. Weinhold responded he does not know yet. Ms. Moermond asked have they had experience working with hazardous materials. The head of Animal Control says the walls need to be taken apart as there are anisnal carcuses there. Mr. Weinhold responded they haue a special person who will taken care of rodent control within the walls. They will take the walls apart and put them back together properly. Part of the drywali will be new. Mr. Magner stated one the items (on the Code Compliance Inspection Report) indicates this is to be a total gut from the inside out. The contractor should have a discussion with the Minnesota Department of Health. The rodent removal could be dealt with the same way as lead based paint removal: seal off the site, air control handling, bagging all materials removed, proper disposal. The sites are vacuumed and dust controlled. This will be harder to do this wark in August when it is 85 degrees inside. Those issues will be taken into considerarion as part of the contractor's estimates for rehabilitation and how he would handle that situation. Ms. Moermond asked if this federal or state guidelines for removal of lead-based paint. Mr. Magner responded that is handled primarily through the Minnesota Department of Health. Ms. Moermond stated the lead based paint guidelines should be refened to. She will also ask that the wall, ceiling, floor removal will be done as lead base paint precautions as done by the Minnesota Department of Health. The last thing is the boarding of the house. The owners aze required to keep these buildings secure. os-��! MINUTES OF THE LEGISLATIVE HEARING OF JULY 5, 2005 Page 7 Ms. Moermond asked have they done projects of this scale and in Saint Paul. Mr. Weinhold responded yes, but it has been many yeazs since the project in Saint Paul, and he is not sure of the address. Mr. Weiss asked about hauling away the debris and placing a dumpster in the front yard. Mr. Magner responded he can work with them on the details. A permit is not needed for placing a dumpster in the front yard; however, a permit is needed if it is on the street. Ms. Moermond asked aze they willing to commit to same day removal. Mr. Weiss responded they plan to gut the proj ect and put in all new systems. Ms. Moermond stated she would recommend that the Council ask for a$5,000 bond. This will be an incenrive. Mr. Weinhold responded that is fine. Ms. Moermond stated she would like the building to be registered with the Vacant Building Program. Ms. Weiss asked do they have to wait until July 20 to work on the building. As soon as the bond is posted, said Ms. Moermond, they can pull the pernuts. The actual granting of the fime is something the Council does. Removing personal possession can happen now. It is in no one's interest to do much work until the City Council hearing. She asked can they agree not to begin the gutting. Mr. Weiss responded that he cannot say that because they are here to get it done. Mr. Magner stated that there should be no gutting of the pzoperty unless there is a building permit, which has to be pulled by the owner of the property. The Head sisters could pull the permit, but they would be responsible for the action of that property and that permit. Tlie City Council could deviate from the recommendation. Mr. Magner would suggest waiting until the date of the City Council hearing for their decision. Ms. Huot stated there are people interested in taking ttus properiy as is. Mr. Weinhold did his homework and did everything Ms. Huot requested of them. Mr. Weinhold stated they will take a risk by paying them off ahead of time. They aze paying a substantial amount more than the land is worth because the building is on the property. They aze not stealing the property, as they are paying fair mazket. If they aze not granted permission to do the house, then it will be bulldozed. Mr. Weiss stated the rat infestation would be gone after the renovation. Ms. Moermond responded there have been a couple of baitings and it looks like the rat problem is under control according to the Animal Control informafion that she has seen. Ms. Moermond asked is she correct that they can pull permits once they have their purchase agreement. Mr. Magner responded tbey need to show they haue title to the property. DS-b MINUTES OF THE LEGISLATIVE HEARING OF JULY 5, 2005 Page 8 One the appellants asked what is the rush and why the developers cannot wait for the City Council Hearing. Ms. Moermond responded that time is money, and they are developers. This is a private property transaction. In siunmary: Ms. Moermond recommends the following be done by noon of July 20, 2Q05: 1) a $5,000 bond posted, 2) a work plan is submitted indicating the general time period when things will be done and the subcontractor name(s), 3) a fivancial plan is submitted showing the wherewithal to complete the work on the Code Compliance Inspection Report, 4) the vacant builcling fees aze paid, and 5) the purchase agreement is completed. The hearing as adjourned at 12:06 a.m. rrn