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HomeMy WebLinkAboutResolution No 39-2021 - Transfer of a Certificate of Delinquent Real Estate Tax Sale Lien from The Board of Commissions - 1408 Elwood Drewrys INTER-OFFICE MEMORANDUM Department of Law City of South Bend 227 W Jefferson Blvd TO: Board of Public Works, Laura Hensley, Clara McDaniels FROM: Sandra Kennedy, Corporation Counsel SUBJECT: Resolution 39-2021 – Acceptance of Tax Sale Certificate DATE: December 16, 2021 Members of the Board, Ms. Hensley, and Ms. McDaniels: As you may know, the property located at 1408 Elwood, also known as the former Drewrys Brewery site, was on the tax sale list due to delinquent real estate taxes. The site has also been the subject of years’ worth of Code violations and the current owner has been ordered by IDEM to clean up the site. To date, the taxes due with regard to the site have not been paid, and St. Joseph County has agreed to transfer the tax sale certificate to the City. Once the City is in possession of the tax sale certificate, by statute we must allow 120 days for the current owner to redeem the property by paying the taxes and a penalty. If the property is not redeemed, the City may then petition the court for the issuance of a tax deed. After the tax deed is issued, the City will proceed to file a quiet title action against the property, to ensure that no other person or entity claims ownership. At the close of the quiet title action, the City will have a clear title to the property. If uncontested, this process will take approximately 9 months. If contested, it will take longer. While the above process is ongoing, the City will be performing due diligence with respect to the property, including obtaining a Phase I and Phase II environmental report, title reports, and surveys. The City intends to remediate the property under the BUILD Act of 2018, which modified CERCLA. As a part of this, the City will also seek comfort letters from EPA and IDEM pertaining to the work to be performed at the site. We are requesting that the Board of Public Works accept the transfer of the tax sale certificate for 1408 Elwood and authorize the City’s Legal Department through its Corporation Counsel, Sandra Kennedy, and the City’s Department of Community Investment through its Director of Neighborhoods, Pamela Meyer, to perform or cause the performance of any action necessary to secure a Tax Title Deed to the property. RESOLUTION NO. 39-2021 A RESOLUTION OF THE CITY OF SOUTH BEND, INDIANA, BOARD OF PUBLIC WORKS ACCEPTING THE TRANSFER OF A CERTIFICATE OF DELINQUENT REAL ESTATE TAX SALE LIEN FROM THE BOARD OF COMMISSIONERS OF ST. JOSEPH COUNTY, INDIANA WHEREAS, St. Joseph County, Indiana (the “County”) is the owner of a Certificate of Delinquent Real Estate Tax Sale (“Certificate”) lien against certain real property located within the City of South Bend (the “City”), which Certificate was obtained by the County pursuant to the tax sale process; and WHEREAS, the care, custody, and control of County real estate is vested in the County’s Board of Commissioners (the “Commissioners”) pursuant to Indiana Code Section 36-2-3.5-4; and WHEREAS, the City has requested that the County transfer the Certificate described in Exhibit A to the City of South Bend, Indiana, Board of Public Works (the “Board”); and WHEREAS, the Board exists pursuant to Indiana Code Section 36-4-9-5 and holds real property owned by the City pursuant to Indiana Code Section 36-9-6-3; and WHEREAS, the County is willing to transfer the Certificate to the Board upon payment of One Dollar ($1.00) and the Board’s agreement to assume any recording and transfer costs associated with said transfer; and WHEREAS, the Indiana Code Section 36-1-11-8 provides for the transfer of the Certificate between governmental entities by adoption of substantially equivalent resolutions; and WHEREAS, on December 21, 2021, the Commissioners are adopting a resolution substantially equivalent to this resolution setting forth the terms and conditions of the transfer of the Certificate between the County and the Board. NOW, THEREFORE, BE IT RESOLVED BY THE CITY OF SOUTH BEND, INDIANA, BOARD OF PUBLIC WORKS AS FOLLOWS: 1. The Board hereby accepts the conveyance of the Certificate described in Exhibit A from the County in accordance with Indiana Code Section 36-1-11-8. 2. For and in consideration of the conveyance of the Certificate, the City shall pay to the County through the St. Joseph County Auditor, the sum of One Dollar ($1.00), and the City shall assume all recording costs and transfer fees. 3. The Board authorizes Pamela Meyer of the City’s Department of Community Investment and/or Sandra Kennedy of the City’s Department of Law to perform and/or cause the performance of any action required by Indiana Code Sections 6-1.1-24-9(d) and 6-1.1-25-1 et seq. to secure the Tax Title Deed, as well as to execute any other document necessary to affect the Board’s acceptance of the conveyance. 4.This Resolution will be in full force and effect upon its adoption by the Board. ADOPTED at a meeting of the City of South Bend, Indiana, Board of Public Works held on December 21, 2021 held in person at 1308 County City Building, 227 W. Jefferson Blvd., South Bend, Indiana 46601 and electronically as authorized by the Governor's Executive Order 20-09, as subsequently renewed. December 21, 2021 EXHIBIT A Certificate of Delinquent Real Estate Tax Sale (see attached) BOARD OF PUBLIC WORKS AGENDA ITEM REVIEW REQUEST FORM Date December 16, 2021 Name Sandra Kennedy/Pamela Meyer Department Legal/DCI BPW Date December 21, 2021 Phone Extension 9241 Review and Approval Required Prior to Submittal to Board Diversity Compliance and Inclusion Officer Officer Name BPW Attorney Attorney Name McDaniels Dept. Attorney Attorney Name Kennedy Purchasing Check the Appropriate Item Type – Required for All Submissions Professional Services Agreement Contract Proposal Open Market Contract Amendment/Addendum Special Purchase, QPA Bid Opening Bid Award Req. to Advertise Title Sheet Quote Opening Quote Award Reject Bids/Quotes Proposal Opening C/O & PCA No. PCA Chg. Order, No. Traffic Control Resolution Other: Ease./Encroach Required Information Company or Vendor Name St. Joseph County Board of Commissioners New Vendor Yes If Yes, Approved by Purchasing No MBE/WBE Contractor MBE WBE Completed E-Verify Form Attached Yes No Project Name Project Number Funding Source Account No. Amount Terms of Contract Purpose/Description Resolution authorizing certain DCI staff to sign documents related to closing the acquisition of the Coal Line Trail from Norfolk Southern. For Change Orders Only Amount of Increase Decrease $ ($ ) Previous Amount $ Current Percent of Change: Increase Decrease % ( %) New Amount $ Total Percent of Change: Increase Decrease % ( %) Time Extension Amount: New Completion Date: