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07-446Council File # � 7 Green Sheet # �3q5a RESOLUTION 411�l�T PAUL, MINNESOTA 3p Presented by / ` � Reso[ution Establishing a Stay in Implementation of Council File #06-838, An Order to Remove or Repair 537 Maunt Curve Boulevard � WHEREAS, the Saint Paul City Council adopted Council File #06-838 on September 20, 2006 an Order to 2 Remove or Repair the buildings at 537 Mount Curve Boulevard; and 4 WHEREAS, this action was taken based on the recommendation of the legislative hearing o�cer following an 5 August I S and September 6, 2006 legislative hearing and a September 6 and September 20, 2006 CiTy 6 Council public hearing on the matter; and 8 WHEREAS, in this process, inforcnation was reviewed and testimony indicating that conditions were 9 advisable before a grant of 180 days for the rehabilitation of the property should be granted by the City lo Council, these conditions being: n � z 1) the $5,000 performance deposit must be posted; I3 2) the vacant building fees must be paid; ia 3) a code compliance inspection must be completed t 5 4) a work plan demonstrating an understanding of the scope of the project, including those items i6 covered in the code compliance inspection report;. i� 5) a financial plan demonstrating the capacity to complete the project; and i 8 6) the use of a competent project manager to ensure the project contract . t9 zo WHEREAS, at the conclusion of 180 days the rehabilitation was far from being at the required halfway mark 2I to qualify for an extension by the building official, according to The report of Jim Seeger the City's Building zz Inspector for vacant buildings, and, therefore the $5,000 performance deposit was forfeited and an additional z3 legislative hearing was conducted to assess the situation and develop a recommendation on whether additional za Council action was warranted; and zs z6 WHEREAS, additional testimony and materials were reviewed in a legislative hearing conducted on April 17, 27 2007 which indicated the above conditions were insufficient for ensuring the completion of the rehabilitation; 28 and 29 3o WHEREAS, based on this review, the legislative heazing officer recommends that the City Council grant an 3 t additional I 80 days for the rehabilitation of this property, given that the following conditions are met: 32 33 1) the $10,000 performance deposit must be posted; 34 2) a work plan demonstrating a) an understanding of the scope of the project, including those 35 items covered in the code compliance inspection report; and b) providing specific 1-month 36 benchmarks for completion of all aspects of the rehabilitation; 3� 3) a revised financial plan demonstrating the capacity to complete the project; and 38 4) the use of a competent project manager to ensure the project confract. 39 4o WHEREAS, the conditions have been met according to both the legislative heazing officer and the vacant building 4i program manager; and 42 43 WHEREAS, if the City Council takes no action to stay the implementation of Counci] File #06-838, the City will aa cause the buildings at this property to be removed, thus eliminating the public nuisance they pose; as 46 537 Mount Curve Boulevard: Stay Resolution, Page 2 of 2 � b 7" `/`�(� z 3 NOW, THEREFORE, BE IT RESOLVED, that the City grants a stay in the implementation of Council File #06-838 a until October 19, 2007; and be it 6 RESOLVED, that the City Council conditions this graM of 180 days upon the successful completion of the work plan, � which shall be reviewed on a monthly basis by the vacant building program manager, a representative of the building a official and the legislative hearing officer, where a lack of progress shall cause the legislative hearing officer to 9 forward the matter to the CiTy Council for potential action; and be it to t� RESOLVED, that City Council action taken based on a lack of progress may include lifting of this stay and 12 implementation of Council File #06-838 which could result in the demolition of structures on this property; and 13 14 RESOLV ED, that the City sha11 continue to consider this property a nuisance as defined by the legislative code, and li therefore subject to nuisance abatement procedures, until a certificate of code compliance is issued by the City's i6 Building Official indicating that the building(s) are safe and habitable. Yeas Nays Absent Benanav / Bostrom �/ Harris �/ Helgen �/ Lantry ,/ Montgomery � Thune � /� O� Adopted by Council: Date ,/� �JG�� Adoption Certified by Council Sec etary BY� ✓O' �L,G>ii� Approved by ' r: Date �� b � Requested by Department of. � Form Approved by City Attorney � Approved by Mayor for Submission to Council � � Green Sheet,Green Sheet G.reen Sheet Green Sheet Green Sheet Green Sheet � 07 5'y.6 co ��� Cotrtad Person 8 Phone: Marcaa Mcertnond Must Be on Council pgenda by Doc. Type: RESOLUTION E-0ocumerrt Required: Y Dowment Contact: Vda Contact Phone: Tofal fl of Signature Pages _ Q4MAY-07 y Assign Number Por Routing Order (Clip All Lowtions for Signature) Green Sheet NO: 3039527 0 omN I 1 omc7 De entDirector 2 ' Clerk GS Clerk 3 4 5 Resolution establislilng a stay in implementation of C.F. #06-838, an Order to Remove or Repair 537 Mount Curve Boulevazd. Planning Commission 1. Has this person/firm ever worked under a contrad for this departmenY? CIB Committee Yes No Civil Service Commission 2. Has this persoNfirm ever been a city employee? Yes No 3. Dces this person/firm possess a skill not normally possessed by any current city employee? Yes No Explain all yes answers on separate sheet and attach to green sheet Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why): Advantages If Approved: Disadvantaqes If Approved: DisadvanWges If Not Approved: Transaction: Funtling Source: Financial Information: (Explain) CostlRevenue Budgeted: Activity Number: May 9, 2007 4:53 PM Page 1 04l30/2607 16:26 6516990616 BARTSH LAW �FFICE PAGE 01/01 O �-c/4�b BARTSH LAW Ok�CE, PA. 790 C�ve[az.n A'vE So. Stm'a 214 Fitc��n Opr�ce C�;rp[� Sr. PA,uL, M1v 551 z6-1958 6$1 699.060I FAX 651 699-0616 Reed Banet Park Edge Corxstxuction 2193 Scheffer Ave. St Paul, MN 55116 Re: S37 Mount Curve Blvd. Dear Reed: Apri130, 2007 T just spoke with Marcia Moermond. She had one last question on how payments to the subs will be reported to the city. As you know, paz of your cantract for 537 Mt Curve requires you to; "Manager sha21 ezzgage sub-contractors to per#'orm work hereunder and shall pay said subcontractars out o£ escrowed funds provided by Owner." .4rxd to ".,, furnish monthly pro�ress reports to the City of St. �aul." As pazt of your zxionthty reports to the City, would you please include information on the payments that were made each month? The city wishes to ensure contractors are being paid in a timely manner out of the escrow account. I'm not sure what exact form this needs to take, but szgned llen waivers wauld be one form of proof of payment. Copies o£ the cancelled checks zxught be anotkzer. As long as they are shown you are paying the bills, they should be OK. Assuming t12e project gets the go ahead from City Councxl, I wnuid do t2�.e firs� progress report one montkz from when John gets the approval and evezy 30 days thereafter until the project is complete. I think there will also be monthly inspections by LEIP, If you have any questions, give me a call. Very Truly urs, .�_.. _. F a� SMB/g1 Ca John Goodman Marcia Moermoxxd P E � C ��-�y� April 24, 2007 PARK EDGE CONSTRUCTION CO. Marcia Moermond I,egislative Hearing Officer City of St. Paul 15 VJest Kellogg Blvd: 3`� Floor St. Paul, Minnesota 55102-1615 Re. John & Shazon Goodman 537 Mount Curve Blvd. Dear Mazcia, Pursuant to the hearing last week, enclosed please find the following documentation: 1) 2) 3) 4) 5) 6) 7) Construcfion Documents-Full sized and reduced Construction Schedule Construction Management Agreement between PECC and the Goodman's. (Please note that the agreement requires monHily updates to the city.) Proof of paid in full contract. Resume for PECC and Reed Banet Construction cost estimate with list of all major sub-contractors Construction Escrow Account which covers total costs We anticipate pulling the permit some time tomorrow contingent on CiTy Council approval of the time extension. It is our sincere hope that you will consider this documentarion a positive step in resolving this matter and forward it to the council with your endorsement. Should you or your staff have any questions conceming this material, please feel free to contact me at either 651-698-8052 or 612-670-0798. Sincerely, P e Fdge Construc 'on Co. Reed A. Banet President cc. Shawn Bartsh John Goodman • Park Edge Construction Co. • 2193 Scheffer Avenue • St. Paul, Minnesota 55116-1161 • Fax/Modem: (651) 698-0264 r Phone: (651) 698-8052 • O 7-�y� � � � � � ��� � � � ��� ��x ��� ��, � = p �u� m ��: �, m m ~ _ F � D � � z tn c� v � 0 � n � m � < v R ����� s €y� �� ��������� � ������ �������E+�� a � ��Y � rn � - 0 rn z n rn VJ O O 0 � � Z �� � � ��� ;� �� � E� v r� �� � "� m 0 7-yy� v I I i I � � I h 1 !� i � � \:�, '1 .. � I -- - � I _- I I � • y � � O � � I G IAWI� 1 IiVR�L �L�Y. C {� O C . � � � � ��� ��� �� � �� m � � � � � ��� � v � � y r Rj D � =�� `� m � � � � �_�_ m e ' a � �-y�� m ,�e• ,o �,e e'-o' �� 9 . '0 . � e a J U � n y � � m �� o � .� � Z 0 . � � �� ��� ; � � � � � �` � � � ��� � � J � � D 9 y & i �� °' � ��_ �. rn >� �� a m � �� �' � � � . � ��� J \ N + � O � � � -m �r o m < 1 g �u �/e -� 9 �_p • �t� 6'-0' �' c Ih j m � v� ��� � � # � � x ��� � � � 'f� � Ql ��' � ��� E� � :� T n t� a m }n, � �� o �- yv� v�-y�� w � ��� J \ Z � Q O � I r O < � Q Z I �� - .� C S 8 0' g 0, a._�. 10 7/8' 10 7/8� VERIfY VERIF"I � � �� ��� � � � � & _��� g ��: �. m 0 �� M �� �� a m � �� 0 Z m � 7 PECC PARK EDGE CONSTRUCTION CO. 2193 SCHEFFER AVENUE ST. PAUL, MINNESOTA 55116-1161 PH: (651) 698-8052 FAX: (651) 698-0264 DATE: 4/20/2007 PROJECT NO. 07.�3.01 PROJECT: GOODMAN RESfDENCE 537 MOUNT CURVE BLVD. PREPARRED BY: REfD A. BANET CONSTRUCTION SCHEDULE WEEK OF CONTRACTOR DECRIPTION OF WORK 5(7/2007 GOPHER ONE-CALL MARK UTtLITIES RAYCO START EXCAVATIONIDEMO HOME CUST. REMOVE pEBRIS IN BASEMENT, CUT HOLE 5/14l2007 RAYCO COMPLETE EXCAVA710NIDEMO GRAF POUR FOOTINGS, START BLOCKWORK SHAW/STEWART DELIVER ROUGH LUMBER B1FFS DELiVER PORT-A-POTTY 5121/2007 GRAF CONTINUE BLOCKWORK 5/28/2007 GR.4F FINISH BLOCKWORK KREMER-DAVIS WATERPROOFING AMER. STRUCTURAL DELIVER STEEL HOME CUST. INSTALL COLUMN AND RE-ENFORCE BEAM 6/4l20�7 6/11 /2007 C:7fE:7fdd41 6/25/2007 7/2J2007 7t2120�7 7/16/2007 CONNECT HOME CUST. CONNECT R,4YC0 BROLL HOME CUST. BROLL CONNECT HOME CUST. GRAF BROLL CONNECT HOME CUST. VITO SROLL HOME CUST. VITO VICTORIA V{�T�RIA DONNELLY VICTORIA DONNELLY GRAF START FRAMING, DEMO BACK WALL START ROUGH WIRING CONT(NUE ROUGH FRAMING, SHORE BSMT CONTINUE WIRING INSTALL DRAIN TILE, SACKFILL & GRADE START ROUGH PLUMBING CONTiNUE FR,4MING, REMOVE SHORING CONTINUE PLUMBING CONTINUE ROUGH WIRWG FINISH FRAMING, INSTAL� WINDOWS/DOORS POUR BASEMENT FLOOR FiNiSH ROUGH-IN FINiSH ROUGH-1N FINISH WINDOWS/DOORS, START ROOFING START A/CNENTALATION INSTALL HEATING FINISH ROOFING FINISH A/C-VENTlLATION START ROCKING F9NTINU� ROCKIN� START STUCCO START TAPING CONTINUE STUCCO POUR STOOP, PATIONS AND WALKS D7-yy� WEEK OF CONTRACTOR 7/23/2007 VICTORlA 7/30/2007 8/6/2007 8/13/2007 8/20/2007 8J27/2007 9/3/2Q07 9/10/2007 DONNELLY SHAW STEWART GUTTERS VICTORIA DONNELLY HOME CUST. VICTORIA DONt�1EltY HOME CUST. CERAMiC TILE HOME CUST. CERAMIC TILE KROLL CONNECT HOME CUST. KROLL CONNEC7 OWNER HERB'S CABINETS HOME CUST. OWNER HERB'S DECRIPTION OF WORK CONTINUE TAPING CONTINUE STUCCO FINISH LUMBER/MILLWORK DELIVERED lNSTA�L GUTTERS 8� DOWNSPOUTS CONTINUE TAPING FINISH STUCCO FINISH CARP ON EXISTIIVG HOUSE FINISH TAPING � SANDING �{h1tSH STUCCO CONTINUE FINISH CARPENTRY INSTALL CERAMIC TILE CONTINUE FINISH CARPENTRY FINISH CERAMIC START FIN15H PLUMBING DEVISE OUT HOME CONTINUE FINISH CARPENTRY START FINISH PLUMBING DEVISE OUT HOME INSTALL LANDSCAPING EXTERIOR PAINTING DELIVER CONTINUE CARPENTRY F�NISH LANDSCAPING PRIME WALLS AND TRIM FLOORING INSTALL WOOD FLOORING HERB'S PAINT INTERIOR, VARNISH WOOD HOME CUST. INSTALL CABINETRY, FIREPLACES & HDWE FLOORING FINISH AND VARNISH HARDWOOD FLOORS HERB'S FINISH PAINTING MPLS. GLASS INSTALL SHOWER GLASS OWNER CLEAN-UP SITE 9/17l2007 HERB'S CONNECT VITO KROLL FLOORING HOME CUST. OWNEf2 9/24/2007 ALL SUB'S PECC 10/1/2007 OWNER FINISH TRIM AND TOUCH-UP INSTAL� TRIM PlATES INSTALL GRILLS & REGISTERS FINISH INSTALL FIXTURES INSTALL LINOLEUM & BASE INSTALL COUNTERS CLEAN-UP ISVTERIOR FINAL INSPECTIONS BUILDING FINAL & C.O. START MOVE IN. v � CONSTRUCTION MANAGEMENT AGREEMENT This Agreement made the 20"' day of April, 2007 by and between Pazk Edge Construction Co., hereinafter called the Manager and John & Shazon Goodman, hereinafter called the Owner. Witnesseth, that the Manager and the Owner for the consideration named agree as follows: ARTICLE 1. SCOPE OF THE WORK The Manager shall manager all suppliers and sub-contractors needed to perform the work shown on the drawings and/or described in the specifications entitled Exhibit A, as annexed hereto as it pertains to 537 Mount Curve Boulevazd, St., Paul, Mn SSS 16. ARTICLE 2. TIME OF COMPLETION The work to be performed under this Agreement shall be commenced on or before May 7, 2007 and shall be substantially completed on or before September 30, 2007. Time is of the essence. The following constitutes substantial completion of the work pursuant to this agreement: Completion of all work as needed to receive a Certificate of Occupancy is by the St. of St. Paul. ARTICLE 3. THE CONTRACT PRICE The Owner shall pay the Manager for material and labor to be performed under this Contract the sum of Ten Thousand Dollars ($ I 0,000.00), subject to additions and deducuons pursuant to authorized change orders. ARTICLE 4. PAYMENTS Payment of this contract price sha11 be made before April 24, 2007. ARTICLE 5. GENERAL PROVISIONS 1) The work shall be completed in a workman-like manner and in compliance with all buiiding codes and other applicable laws. 2) The contractor shall furnish monthly progress reports to the City of St. Paul, as per City Agreement. 3) To the extent requires by law all work shall be performed by indviduals duly licensed and authorized by law to perform said work. 4) Manager shall engage sub-contractors to perform work hereunder and shall pay said sub-contractors out of escrowed funds provided by Owner. 5) Manager shall fiunish Owner with appropriate releases of waivers of lien for all work performed or materiais provided at the time of the nest periodic payment is due. • Park Edge Cahstruction Co. • 2193 Scheffer Avenue • St. Paul, Minnesota 55116-1161 • Fa�Modem: (651) 698-0264 • Phone: (651) 698-8052 • 0 7- yyG 6) all changer orders shall be in writing and signed by the Owner and Manager, and shall be incorporated in, and become a part of the contract. 7) Contract warrants that all sub-contractors, and their employees, are adequately insured and proof of said insurance is on file with the Manager 8) In the event that the Owner cannot secure approval from the City of St. Paul for the project, this agreement will become null and void and all disbtused funds shall be retumed to the Owner. ARTICLE 6. OTHER TERMS 1) Contractor shall coordinate all sub-contractors in such a manner as to minimize internction with the neighborhood. Signed this ' C'�� day of AP2i�, , 2007 /� l i Ii �� �':. , � , • , -� I � �.7i 1 .�- • Park Edge Ca'�strucfion Co. • 2193 Scheffer Avenue • St. Paul, Minnesota 55116-1161 • • Fax/Modem: (651) 698-0264 • Phone: (651) 698-8052 - �: :..�'._ .: 4iF 'li � - : 'e� in;. _ . ,.�,e+,ir:_�. _ � � - - w�-�l93SCry� � PAUI:'�'5 ° a�`�es,, � _ �, - <;,;��^„=�: -- e,.. - ._.a� � TO John & Sherry Goodman 2197 Scheffer Avenue St. Paul, MN 55116 TERMS 4 Da s QUAIJTl7Y Construction � :.��z JOHN CHARLESGOODMAN SHARON M GOODMAN 2197 SCAEFFER AVE PRICE 97 SAINT PAUL MN 55116-1161 � a�Q7 DATE �L. PAV TO��� �iSl LL /'�._ ,� A� _ 1 � Q` /p �' � OftDEROF CiL]QC ���✓rv �,/Cr\l •v [ T� �'�ari.[.r•.. 9" " lao =-�fs 6 � .� C�bank F;vc5ru5m.mGuuan�cAC� usbank.com =` _ `a �,JI� I MEMO /�CT C�sR�� � ^� ` '• ° ^.Sr°� � #r,.� � sc � : ,��-- _' �!c;,���`` �y,�'.+,r�•:z��� ' -.ax�,�'-':'• � ,_ ..� ,-� .,;, _- �_ _ �-�: v , - , St.. ,.. ,?.i_�r,=..-;Y � ;=.:: :: . � ":4` ��;�'w ,;:::Z-�.``. ' �: ��_ _ �a,'" -' ' DA .... _.. '.�'�-'�_"_ _. . 2250 l� 7- �/5�L � April 20, 2007 fOMER OqDER NO. 07.03.01 SPERSON DESCRIPTION ement fee for 537 Mount Curve Blvd. Thank You AMOUNT $10,00 .00 � 7 W � Z� W W � W N 2 � N � a U oa 0 � C�7- yyG PECC PARK EDGE CONSTRUCTION CO. CORPORATE & PERSONAL RESLJME CORPORATE: Name: Park Edge Consmiction Co. Founded: 1961 Incorporated: 1987 Officers: Reed Banet-President Function: Job History: June Banet-Secy General Contractor, Construction Managers and designers Commercial, Industrial, Govemment and Residential Our primary purpose is construction management, even as a General contractor Since 1997, we have completed 597 jobs in and around the twin cities area. Major Projects: 1997: University Centre @ 1919 Hmong American Partnership 1998: TGUAgape-1919 University Ave. Ramsey counTy Mental Health 1999: Minnesota Gang Strike Force Ma11 azea remodel-Spruce Tree Centre 2000: Entry & Cooridor Remodel-EBT Office 2001: Applebaum Residence Community Leanung Centre 1745 university avenue Wilkerson-Guthman-Johnson 2002: Feed Management Systems Ramsey County Mental Health 2003: Spruce Tree Ramp Remodel 2004: Fi�tegra Community drug/Midway Chamber National Resource Conservation Midwest Pubiishing 2005: E.M.O.I.C. 2006: Ramsey County Corrections $2,300,000.00 $ 286,000.00 $1,150,000.00 $ 397,000.00 $ 105,000.00 $ 175,000.00 $ 325,000.00 $ 205,000.00 $ 362,000.00 $ 245,000.00 $ 143,000.00 $ 181,000.00 $ 65,000.00 $ 119,800.00 $ 224,300.00 $ 64,400.00 $ 76,500.00 $ 76,600.00 $ 216,000.00 $ 138,200.00 Construction Volume is presently at or above $1,100,000.00/year with a minimum of 60 projects completed per year. • Park Edge Construction Co. • 2193 Scheffer Avenue • St. Paul, Minnesota 55116-1161 • • Fax/Modem: (651) 698-0264 • Phone: (651) 698-8052 • U 7-yy� REED BANET: Bom: September 7, 1952 Wife: June Banet Children: Brett-U of M Graduate Michelle-L'Academie de Cuisine Cnaduate Education: Cmaduated Osseo High School 1970 University of Minnesota- 3 years towazd triple major-Physics, Math & Mech. Engineering Numerous courses in construcrion management and engineering Worked under Bertrani Getsug P.E. from 1975 to 1984 Experience: 1975-1987 Construction Manager/Tenant Coordinator for Paster Enteiprises. Handled retail, office and residential jobs. Reponsible for all Phase including design, bidding, financing and consh�uction management. Handled approxirnate 100 projects per yeaz. 1987-Present . President of Patk Fdge ConstrucUOn Co. Responsible for Design/build projects. Although PECC is a General contractor, all work is Done by sub-contractors. We also design and create construction Documents for most projects. We average anywhere from 60-100 projects Per yeaz. • Park Edge Construction Co. • • 2193 Scheffer Avenue • St. Paul, Minnesota 55116-1161 • • Fax/Modem: (651) 698-0264 • Phone: (651) 698-8052 • bank. � F�c� 5r�r 5�+�is Guaranrcd C 711 Cleveiand Avenue South Saint Paul, MN » 116 Apri] 24, 2007 Dear John, � >- yy� Per your request, I have set up an escrow account�for Sharon and you for the 537 Mount Curve property. Your total funds available are $300,000.00. �"� � c � arol A. Jorgensen Personal Banker 651-695-6205 ,, . . a�,.� �,-Q� - _ ❑�I RECEIPT Payment #: 519348 Payment Date: April 24, 2007 JOHN C GOODMAN 2'197 SCHEFFER AVE ST PAUL MN 55116-1161 CITY OF SAINT PAUL O�ce of License, Inspections and Environmentai Protection 8 Fourth Street East, Suite 200 Saint Paul, Minnesota 5 51 01-1 0 24 Phone:(651)266-9090 Fax:(651)266-9124 www.liep.us Amount Paid: $70,000.00 Payment Type: CREDIT Transactio Description Pro}ec�;Locati n ��S37�N �� k �rv` ��a�.+ 05 - 073691 Vacant Building Prelim SUB TYPE: CATEGOI TYPE: VACANT BUILDING ❑1/31/05: Snow/ice on sidewalk 3 TYPE: SINGLE FAMILY FEES Performance Deposit 10,000.00 TOTAL 10,000.00 07-yy6 SUMMARY FOR PUBLIC HEARIl�TG 537 Mount Curve Blvd Legislative Hearing - Tuesday, Apri117, 2007 The building is a two-story, masonry and wood frame, single family dwelling, with a detached, two-stall, masonry and wood frame garage on a lot of 16,117 square feet. According to our f les, it has been a vacant building since April 25, 2002. The current property owner is John C Goodman / Sharon M Goodman, per AMANDA and Ramsey county property and t�ation records. There have been two (2) Si JMMARY ABATEMENf NOTICES issued for: - Removal of rubbish & garbage in yard On June 7, 2006 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 NiJISANCE BLJILDING was posted on June 16, 2006 with a compliance date of July 17, 2006. 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 are current. Taxation has placed an estimated market value of $279,100 on the land and $224,200 on the building. As of Aub st 22, 2006, a Code Compliance inspection has been completed. As of April 10, 2007, the $5,000.00 performance bond has been forfeited. Real Estate taYes are current. Code Enforcement Officers estimate the cost to repair this shucture is $100,000 to $150,000. The estimated cost to Demolish is $10,000 — 12,000. NHPI, Division of Code Enforcement Resolution submitted for consideration orders the property owner to repair or remove this siructure within fifteen (15) days, if not the resolution authorizes the Division of Code Enforcement to demolish and assess the costs to the property. OFFICE OF LICENSE, MSPECTIONS AND ENVIRONMENTAL PROTECTION .. Bob Kessler, Dirutor R� �� i /� // C/ `7`7(0 CTI'Y OF SAINT PAUL Christopher B. Coleman, Mayor April 12, 2007 Re-inspection Report COMMERCEBUILDING Telepkoner 651-266-9090 SFourthStreetEas{Suite200 F¢csimile: 651-266-9099 StPaul,Minneso1a551 01-1 0 2 4 Web. www.(iep.us Re: 537 Mount Curve Blvd, Owner John C. Goodman File#: OS 073691 VB3 On March 30, 2007 I inspected 537 Mount Curve Boulevard to see how much prog�ess had been done. The bond of $5000.00 was posted on August 31, 2006; the 6 month expiration date was March 3, 2007. At the time of inspection very little of the scope of work on the Code Compliance report was done. The kitchen was gutted at time of inspection. There was no Plumbing or Mechanical Permits for the property. The Electrical Permit was for new service hookup only and no interior elech work. The only Building Permit posted was for squurel damage repair and to remove old plaster. At most 10% of the work is done. Sincerely, James L. Seeger Code Compliance Officer JLS:sIh AA-ADA-EEO Employer �7-yy� LEGISALATIVE HEARING MINLJTES FOR APRIL 17, 2007 Page 8 Progress report on 537 M� Curve Blvd. The foliowing appeazed: Shawn Bartsh, 790 Cleveland Avenue #214, attomey representing the property owner; John Goodman, 2197 Scheffer Avenue, the property owner; and Reed Banet, Pazk Edge Construcrion, 2193 Scheffer Avenue, General Contractor. Marcia Moermond stated that there had been a hearing on this matter in August, 2006 to consider the rehabilitation of this property. On September 20, 2006, the City Council recommended granting 180 days to rehabilitate property. The properiy was re-inspected after the 180 days had passed and had not achieved the 50% mark for rehabilitation. She would make a recommendation conceming this property to the City Council for their consideration. Steve Magner, DSI, reported that this property had been vacant since Apri125, 2002. At the last hearing, it was indicated that it had been vacant prior to 2002. The current owners were John Goodman and Sharon Goodman. Previously, they were issued a building deficiency list and ordered to abate the nuisance condition which was posted on June16, 2006 with a compliance date of July17, 2006. As of this date, the property remained in a condition which comprised a nuisance as defined by the Legislative Code. The vacant building fees were current. The estimated tax value was $279,100 on the land and $224,200 on the building. The code compliance inspection was completed. As of Apri110, 2007, the $5,000 performance bond had been forfeited based on Mr. Seeger's determinarion that 50% of the project had not been completed by the time he had re-inspected the property. The tases were current. The rehabilitation was estimated to be in excess of $100,000 to $150,000 based on the scope of the work that needed to be done. The estimated cost to demolish the building was $10,000 to $12,000. Ms. Moermond stated that she asked Jim Seeger, DSI-Licensing, for a progress report on the rehabilitation of the property. According to Mr. Seeger, approximately 10% of the work had been completed after the 180 timeline had elapsed. Ms. Moermond stated that a large, vacant house with no plumbing, heating, mechanical system, problems with the roof, was considered a public nuisance. At the previous hearing, Mr. Goodman indicated he wished to put an addition on the house; however, she had indicated that it was her desire, as well as the neighborhood's desire, to first abate this public nuisance. She asked where they are at and whether they were requesting more time at this point. Ms. Bartsh stated they never saw a copy of Mr. Seeger's letter and requested a copy. Mr. Goodman stated that the letter was recent and he had not worked on the house for a few weeks because he went on vacation. Ms. Moermond responded that the building permit was pulled on day 179. Ms. Bartsch stated that according to the contractor, more than 50% had been done. Ms. Moermond asked where John's brother, Daniel, was as far as being the project manager as there were signed documents that he was to be the project manager. Ms. Bartsh responded that Daniel was no longer the project manager and John had hired a professional contractor. Reed Banet, Park Edge Conshuction, stated his company had been in the construction business since 1961 and he had owned the company since 1983. Their primary responsibility was in construcrion management. He had done a number of projects such as this and was occasionally hired to deal with difficult situations where property owners had not done their job. He was considered quite lrnowledgeable and he always got the job done on time. C�7-yy� LEGISALATIVE HEARING MINLJTES FOR APRiL 17, 2007 Page 9 Ms. Moermond asked about Mr. Banet's relarionship with Home Customizers, Inc. Mr. Banet responded that he does not have a relationship with them. They would be a subcontractor hired by John and he would manage them and make sure things were done correctly. A number of line items had been completed such as the electrical services were now in place. The items that had not been completed were items that he believed were not essential to complete at this tune and it was his opinion that those items would be completed with the planned addition to the house. According to Mr. Seeger, he considered the electdcal, plumbing and mechanical the major issues in the house that had to be completed. Ms. Moermond stated that she has no posirion on the proposed addition and her only concern was abating the nuisance condition. She asked why she should believe the next six months would be any different than the last six months. Mr. Banet responded that the owners had signed a contract with him and agreed to pay him to do the job, they had applied for a pernut and the work was ready with the exception of two items: energy and beam calculations. Both items had been completed and were ready to be approved by Licensing. He did not feel it was wise or reasonable to expect Licensing to issue a permit when the City Council decision was hanging over the whole project. He presented a copy of the plan that indicated the elevation of the building along with a timeline for the scheduled work that needed to be completed. Mr. Banet stated that he believed the work could be completed by August 31, 2007, which was the one year of the original order by the City Council. They had received approximately 75% of the bids for this project and were ready to hire the subcontractors once they received City Council approval. Mr. Csoodman had demonstrated that he had the assets to complete the project and subcontractors would be paid in a timely fashion. Mr. Goodman had also met with a few of the neighbors regarding their concerns and he would be willing Yo provide his name and cell phone number to the neighbors so they could call him with any questions or concerns. The plan was to improve this house, make it an asset to the neighborhood, have the work completed by August 31 and would attempt to show as much compassion to the neighbors while this project was going on. Ms. Moermond indicated to Mr. Banet that she would need a resume, a list ofprojects that he had completed as well as a list of professional credentials. Mr. Banet responded he would have those items to her the following day. Russell Nelson, 546 Mt. Curve Boulevard, stated that he lived across from 537 Mt. Curve. Thirteen years of continuous vacancy is a concern for safety, aesthetics, and health for this neighborhood. He was afraid for the neighborhood children because of the situation with this house. He was not interested in the reason the house had been vacant for 13 years. The owners had been given ample opportunity to fix it up. Bruce Hoppy, 531 Mt. Curve Boulevard, stated that his family lived north of this house. They had moved into the neighborhood in June, 2006 and he would like to remain cordial with the Goodmans concerning this situation. He was concerned that the sign from the previous builder was still posted on the front of the building and he questioned if there was a contract in place. He hoped that the problems with this property did not happen again and that the owners had a firm contractor for this project. He appreciated what the City had done and hoped the Goodmans would follow through with rehabbing this home. Mr. Banet stated that he was aware of some of the history of this property. He indicated that the property had been cleared of debris and brush, fencing had been put up to keep people off the site, and o >�y�� LEGISALATIVE HEARING NIINUTES FOR APRIL 17, 2007 Page 10 the building was locked. It was their intent is to move forward as soon as they received City Council approval. After that, the excavation work could begin within the following two weeks. Ms. Bartsh stated that since last August, there had been a lot of work done on the inside of the house. Ms. Moermond stated that last fall, Daniel, John's brother, was going to be project manager. Ms. Bartsh responded that she believed Daniel would do the job, however, unbeknownst to her or to Mr. Goodman, Daniel was gone for a period of time over the winter. Ms. Moermond asked about Home Customizers. Ms. Bartsh responded they were never the general contractor and were only hired to do the code compliance and fix the soffits. Ms. Moermond responded that the work plan stated they were the general contractor. Mr. Banet responded that Home Customizers was a general contractor and they would like to be the general contractor for the project, however, their prices were not reasonable. Mr. Goodman pulled the pernut himself and was willing to hire the subcontractors with Mr. Banet managing them. Mr. Magner stated that he would like to see Mr. BaneYs name on the documentarion. There were now two problems: one was financial and the other was there was no long-term control of the project as there did not seem to be one person in control of this project. On August 15, 2006, Mr. Goodman's brother indicated that all these issues would be resolved because he was going to take care of things. Mr. Magner requested the following: a complete breakdown of the costs, have costs rolled into the contract, haue contracts signed for the general scope of the project, have major contracts signed with the subcontractors, define where the funds were going to come from and have a signed contract with Mr. Banet as the manager. These documents were necessary in order for the Legislative Hearing Officer to make a recommendation to the City Council. Given the circumstances, he would be unwilling to make a recommendation for additional time. Ms. Bartsh stated that hiring Mr. Banet was a step in the right direction. She suggested that perhaps they could meet with Ms. Moermond on a bi-monthly basis on progress reports. She also stated that at the last hearing, Mr. Goodman submitted financials documentation indicating his financial wherewithal to complete the project. Ms. Moermond stated she would like new financial documentation as there needed to be an assurance that money continued to be available for the completion of this project and suggested the funds be escrowed. It was her opinion that a third party needed to be in charge of signing the checks. Mr. Goodman stated that Home Customizers was retained to go through the compliance list to make sure it the project was feasible and could be done and was not hired to put on the addition. Ms. Moermond responded she had Home Customezers listed as the general contractor on the work plan that had been submitted and she did not care about the addirion. It appeared that they did not wake up to this fact until the 180 days had expired. Ms. Bartsh responded that Home Customizers and Mr. Banet had a different percentage of what work had been done and they believed that 50% of the list was completed. Ms. Moermond responded that the work was done in the last few weeks which was beyond the six month deadline granted. Mr. Banet asked if there was particular way Ms. Moermond wanted the money dispersed. As for the construction schedule, he would provide a detailed list of what contractors would be there when and would provide this information to Ms. Moermond the following day. d 7 LEGISALATIVE HEARING MINUTES FOR APRIL 17, 2007 Page 11 Ms. Moermond stated they would need to provide the following: 1) a modified work plan to include a construction schedule with contractor names and addresses; 2) a cost breakdown for each category; 3) a financial plan showing that the money was available and separated so that someone else was responsible for signing the checks for this project. She also stated that she would require monthly progress reports on the project and that a$10,000 bond needed to be posted. Mr. Magner added that this was refundable when they completed the project. Ms. Moermond stated that another possibility was that this properiy be sold to someone that was capable of completing the rehab. The other possibility was that it be ordered to be demolished. She believed it was in everyone's best interest to resolve this issue. She stated that she had a low level of confidence in the owner completing the project. She would prepare a resolution for the City Council's consideration concerning her recommendarion on the rehabilitation of this property which would be before the Council at another Public Hearing. She indicated that all of the conditions needed to be met befare she would make a decision to move forward on this project. Ms. Bartsh asked if there was a reason to delay getting a permit to start the excavation. Ms. Moermond responded they would need to pull the permit, however, the $10,000 bond would need to be posted before a permit would be issued. Mr. Magner stated that Licensing would need to be notified that the bond was increased to $10,000. A letter was faaced and mailed to Ms. Bartsh on April 24 requesting the following documentation: 1. A modified work plan indicating the following: a) a construction schedule with the dates that items will be completed; b) names and addresses of all the contractors; and c) a cost breakdown for each item. 2) A financial plan indicating the following: a) the financial wherewithal to complete the rehabilitation of the property; b) a separation of financing to complete this project indicating someone other than the owner would be responsible for ensuring all contractars were paid in a timely manner; and 3) A$10,000 performance deposit posted with DSI-Licensing.